Show:
Banking and Liquidity
The Fed
Functions of Money
Characteristics of Money
Random
100

What do banks do with their funds?

divides them into

-cash

-securities 

-loans 

100

What is the federal reserve?

The central bank of the United States. Created by the Congress to provide the nation with a safer, more flexible, and more stable monetary and financial system.

100

What is currency?

The most common form of money

100

Why must money be portable?

People need to be able to take money with them as they go about their business and be able to spend money easier. 

100

what does M&ms stand for?

mars and murres

200

A firm that manages money and provides financial services

A bank

200

When was the Fed created?

 December 23, 1913

200

What is income?

A flow of earnings per unit of time

200

Which of the following is the main disadvantage of using shells as money instead of coins?

Divisibility

200

Who lives in a pineapple under the sea?

Spongebob Squarepants

300

The bank of the banks of the U.S. Government and the Gatekeeper of the U.S. Economy.

The Fed

300

What are four of the responsibilities of the Fed?

  1. conducting the nation's monetary policy;
  2. supervising and regulating banking institutions and protecting the credit rights of consumers;
  3. maintaining the stability of the financial system
  4. providing certain financial services to the U.S. government, the public, financial institutions, and foreign official institutions.
300

What is liquidity? 

The relative ease and speed with which an asset can be converted into a medium of exchange. 

300

Which of the following is the main disadvantage of using gold bars as money instead of coins or paper currency?

Portability

300

what two words start and end with "und?" 

underground and underfund

400

Insures up to $250,000 and serves as insurance for banks.

 the FDIC?

400

How often does the Fed meet up?

Several times a week.

400

What is Commodity Money?

Money made up of precious metals or another valuable resources.

400

Which of the following is the main disadvantage of using a commodity such as milk as money instead of coins or paper currency?

Durability

400

Why didn't the skeleton go to the party?

He had no body to go with

500

What are Loans?

The primary assets of modern commercial banks > 50% of assets

500

How many districts are apart of the Fed?

Twelve

500

What is money's most important function?

It is the medium of exchange.

500

Two units of the same type of money must be the same in terms of what they will buy, that is, they must be

Uniform

500

The books wrote by J.K. Rowling

Harry Potter