Asked by Joseph Zorzoli on Apr 24, 2024

Discuss why the Fed rarely changes the reserve requirements.

Reserve Requirements

Regulations set by the central bank determining the minimum amount of reserves each bank must hold against deposits.

Fed

The Federal Reserve System, which is the central banking system of the United States responsible for monetary policy.

  • Distinguish between different types of money and understand the role of the Federal Reserve System in managing monetary policy.
  • Analyze the structure and functions of the Federal Reserve System and its importance in economic policymaking.