Banking and Monetary Concepts

Front

The amount of money a person originally borrows

Back

Principal

Front

What the lender charges you to lend money.

Back

Interest

Front

An institution that manages the currency and monetary policy of a nation.

Back

Central Bank

Front

What occurs when large groups of depositors withdraw their money from banks simultaneously based on fears that the institution will fail?

Back

Bank Run

Front

coins or banknotes that must be accepted if offered in payment by decree of a government.

Back

Legal Tender

Front

refers to the total volume of currency held by the public at a particular point in time

Back

Money Supply

Front

Certificate of ownership in a corporation

Back

Stock

Front

Paper currency that was previously backed by gold. Issued in 1863 and recalled in 1934 was known as what?

Back

Gold Certificate

Front

An interest bearing loan to a bank that gains money over the course of the loan. (The money cannot be withdrawn and functions as a long term savings account).

Back

Certificate of Deposit (CD)

Front

The Federal Reserve System is

Back

The US Central Bank