| A | B |
|---|
| member banks | banks that belong to the Federal Reserve System |
| liquidity | a term describing the ease with which and investment can be turned into cash |
| collateral | something of value used to secure a loan |
| liabilities | debts and other obligations that must be repaid |
| assets | investments, money, and items of value |
| greenback | money not backed by gold |
| silver certificate | money that could be exchanged for silver |
| gold certificate | money that could be exchanged for gold |
| pension | retirement savings |
| Individual Retirement Account | a method of saving for retirement that reduces tax burdens on savings |
| mutual fund | a business that invests in stock, bond, etc and sells shares of stock in itself to investors |
| common stock | shares of stock that usually pay lower dividends and include voting rights |
| prefered stock | shares of stock that usually pay higher dividends but do not include voting rights |
| M1 | the total amount of cash money in circulation and demand deposit accounts |
| M2 | the total amount of cash in circulation, demand deposits, and savings accounts |
