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13.3 How a central bank executes monetary policy  (Page 12/12)

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  • Card 12 / 12:
    reserve requirement

    the percentage amount of its total deposits that a bank is legally obligated to to either hold as cash in their vault or deposit with the central bank

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Practice FlashCards 6 Key Terms 3

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Source:  OpenStax, University of houston downtown: macroeconomics. OpenStax CNX. May 28, 2014 Download for free at http://legacy.cnx.org/content/col11653/1.3
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