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Federal Funds Rate
The interest rate at which depository institutions lend reserve balances to other depository institutions overnight.
Price Stability
An economic condition in which prices remain largely stable, without rapid inflation or deflation.
Maximum Employment
A situation in which all available labor resources are being used in the most economically efficient way, one of the goals of economic policy.
Quantity Theory of Money
This economic theory posits that the general price level of goods and services is directly proportional to the amount of money in circulation.
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