Buy custom The Federal Reserve System 
    
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            | Topic: | Business | 
        
            | Number of pages / Number of words: | 10 / 2752 | 
                
    
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One form of direct control can be exercised by adjusting the legal reserve ratio (the proportion of its deposits that a member bank must hold in its reserve account), and as a result, increasing or decreasing the amount of new loans that the commercial banks can make. Because loans give rise to new deposits, the possible money supply is, in this way, expanded or reduced...
        
        
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Because loans give rise to new deposits, the possible money supply is, in this way, expanded or reduced. This policy tool has not been used too much in recent years. The money supply may also be influenced through manipulation of the discount rate, which is the rate if interest charged by the Federal Reserve banks on short-term secured loans to member banks...
        
        
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            General points of the essay
            
                                    The Federal Reserve System: Modern Fascism And Absolute Power
                                    Chicago Federal Reserve
                                    Federal Reserve Bank Changing Money Supply
                                    Federal Reserve
                                    how does the federal reserve control the money supply?
                                    Macroeconomic Impact Of The Federal Reserve Bank
                                    Role Of The Federal Reserve In The Payments System
                                    Role of Federal Reserve
                                    The Federal Reserve Board
                                    The Federal Reserve System
                                    Federal Reserve Act
                                    federal reserve system
                                    THE FEDERAL RESERVE'S CURRENT
                                    The Development of the Federal Reserve
                                    federal reserve and inflation
                            
                    
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