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Unformatted text preview: Click to edit Master subtitle style 5/11/09 By Adriana Madison Overview TheFe is thece d ntral banking syste of theUnite m d S s tate Consis of a ce ts ntral Board of Gove rnors, 12 re gional re rvebanks, and num rous m m r banks se e e be I m m nts m tary policy through ope m t ple e one n arke ope rations 5/11/09 By Adriana Madison Outline Put the outline here 5/11/09 By Adriana Madison Monetary Policy C ontrol them y supply one Re gulatebank re rve se s C hangeinte st rate re s 5/11/09 By Adriana Madison Control the Money Supply Low growth rateof m y supply incre s inte st one ase re rate so theFe purchase USTre s d s asury se curitie s which puts m m y in circulation ore one High growth rateof m y supply cause inflation so one s theFe se se d lls curitie re s them y supply s, duce one which curbs inflation 5/11/09 By Adriana Madison Regulate Bank Reserves A bank le out m of its m y nds ost one TheFe can incre re rve to prote theaccount d ase se s ct holde but this m s loans harde to obtain and rs ake r incre s inte s rate ase re t s 5/11/09 By Adriana Madison Topic Put one more topic here 5/11/09 By Adriana Madison Change Interest Rates TheFe dire se thediscount ratewhich is the d ctly ts rateat which it le m y to thebanks nds one Raising thediscount ratere s them y supply duce one and slows thee conom y Lowe thediscount rateincre s them y ring ase one supply and e xpands thee conom y I nflue s theprim ratewhich is theratethat banks nce e chargethe be t custom rs ir s e 5/11/09 By Adriana Madison Summary 5/11/09 By Adriana Madison Questions? 5/11/09 By Adriana Madison ...
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