| A | B |
|---|
| Bank Run | Widespread panic where numbers of people try to redeem their paper money |
| Greenback | Paper currency issued during the civil war |
| Gold Standard | Paper money and coins are equal to the value of certain amounts of gold |
| FDIC | Federal Deposit Insurance Corporation, Insure customers deposits if a bank fails |
| S&L | Savings and Loans |
| Central Bank | Bank that can lend to other banks in times of need |
| Member Bank | Banks that belongs to the federal reserve system |
| M1 | Money that people can gain access to easily and immediately to pay for goods and services |
| M2 | This Consists of all assets from M1 plus additional assets |
| Savings Money | Example: Certificate of Deposit (CD’s) |
| Loans | Borrows money out to people to help cover costs |
| Mortgages | Used specifically to purchase real estate |
| Simple Interest | Interest paid only on the principal |
| Compound Interest | Interest paid on both principal and accumulated interest |
| Credit Union | Cooperative lending associations for particular groups, usually employees of a specific firm or government agency |
| Finance Companies | Make installment loans to consumers |
| 1913 | Federal Reserve System Act |
| 1863 | National Currency Act |
| National Currency Act | Established the US dollar as National Currency |
| 1864 | National Banking Act |
