Examlex
Which of the following represents overregularization?
Federal Funds Rate
The borrowing cost at which financial institutions lend and borrow federal funds (reserves at Federal Reserve Banks) from each other overnight.
Interest Rate
Interest rate is the proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage of the loan outstanding.
Fractional-reserve Banking
A banking system where banks hold only a fraction of their deposits in reserve, lending the rest to generate profits.
Money Supply
The collective volume of monetary assets within an economy at a certain point, including cash, coins, and balances in checking and savings accounts.
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