Details Title: Chapter 15 Description: N/A Total Flash Cards: 27 Created: 11/16/2008 23:47:20		New Users: To study from this flashcard set, or to create your own your own study flash cards, REGISTER HERE. Existing Users: CLICK HERE. Additional Management Flashcards
Cards in this set: Term Money must have... Definition portability, divisibility, durability, & stability Term Functions of Money Definition Medium of exchange, store of value, measure of worth Term M1: Spendable Definition Currency, Checks, & Checking Accounts Term M2: M1 + Convertible Money Definition Time deposits, money market mutual funds, saving accounts Term M3: M2 + Less Liquid Deposits Definition Large time deposits and sizable money market finds by large institutions Term Credit Cards Definition Credits are not money and are not included in M1, M2, or M3 when measuring the nation's money supply. Term Commericial banking Definition Companies that accept deposits that they may use for to make loans, earn profits, pay interest to depositors, and pay dividends to owners. Term Saving & Loan Association Definition Accept deposits, amke loans, and are owned by investors. Term Mutual Savings Banks Definition All depositors are owners of the bank, so all profits are divided proportionaly among depositor via dividends. Term Credit Unions Definition A nonprofit, cooperative financial institution owned and run by its members; promotes thrift. Term Non-profit Institutions Definition Unlike commerical banks, inflowing fund are intended for purposes other than earning interest for depositors. Examples: Pension Funds, Insurance Companies, Finance Companies, & Securities investment dealers. Term Federal Deposit Insurance Corporation Definition Preserves confidence in the financial system by supervising banks and insuring deposits in banks and thrift institutions. Term Characteristics of the Federal Deposit Insurance Corportation Definition Commerical banks pay fees for membership in the FDIC. The FDIC guarentees the safety of all deposits up tp $100,000. The FDIC maintains the right to examine the activities and accounts of all member banks. Term The Fed: The Nation's Central Bank STRUCTURE Definition Board of governors. Reserve banks. Member banks. Term The Fed: The Nation's Central Bank FUNCTIONS Definition Banking for the government. Banking for banks. Controlling the money supply. Term The Fed: The Nation's Central Bank FUNCTIONS Definition Banking for the government. Banking for banks. Controlling the money supply. Term Monetary Supply Definition The Fed manages the nations's economic growth by managing money supply and interest rates. Term Tools of the Fed Definition Reserve requirements. Discount rate controls. Open market operations. Selective credit controls. Term Tools of the Fed Definition Reserve requirements. Discount rate controls. Open market operations. Selective credit controls. Term Anti-terrorism Regulations Definition Bank Secrecy Act USA Patriot Act...customer id program. Debit Cards...allows the transfer of money between accounts & used with point-of-scale terminals. Term Smart Cards Definition Credit cards size plastic cards with an embedded computer chip that can be programmed with "electronic money" Term E-Cash Definition Money that moves via digital transmissions on the Internet, outside established network of banks, checks, and paper currency overseen by the Fed. Term Check 21 Definition Allows bank to preent a substitute check for payment instead of the original check. Term Blink Credit Cards Definition A "contactless" payment system. Term Debit Cards Definition Allow the transfer of money between accounts. Used with the point-of-scale terminals. Term World Bank Definition Provides a limited scope of financial institutions. Term Interantion Monetary Fund Definition Provides the stability of exchange rates. Provides temporary, short term laons to member countries. Encourages members to cooperate on international monetary issues and developement of a system for international payments.