Examlex
Progressive tense
Reserve Requirements
Regulations set by central banks determining the minimum amount of reserves that banks must hold against deposits, influencing the bank's ability to lend.
Money Supply
The total amount of monetary assets available in an economy at any specific time, including cash, bank deposits, and other liquid assets.
Deposit Expansion Multiplier
A ratio that explains the total increase in deposits within the banking system generated from an initial deposit, based on the reserve requirement ratio.
Open Market Securities
Financial instruments such as bonds or stocks that are traded freely on the open market and can be bought and sold by investors.
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