The buying and selling of government securities by the Fed A system in which banks keep only a percentage of their deposits on reserve as vault cash and deposits at the Fed The interest rate the Fed charges on loans of reserves to banks The maximum change in the money supply due to an initial change in the excess reserves banks hold The interest rate banks charge for overnight loans of reserves to other banks

Open market operations

Fractional reserve banking

Discount rate

Money multiplier

Federal funds rate

Explanation:

Open market operations is the buying and selling of government securities like treasury note by the Fed.

Fractional reserve banking is a system in which banks keep only a percentage of their deposits on reserve as vault cash and deposits at the Fed.

Discount rate is the interest rate the Fed charges on loans of reserves to banks.

Money multiplier is the maximum change in the money supply due to an initial change in the excess reserves banks hold

Federal funds rate is the interest rate banks charge for overnight loans of reserves to other banks.

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