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What’s the fed. The Federal Reserve System may be the main bank system regarding the united states of america, which conducts the nation’s financial policy

What’s the fed. The Federal Reserve System may be the main bank system regarding the united states of america, which conducts the nation’s financial policy

Learning Goals

Explain why the Federal Reserve functions as the “lender of final measure”

Key Takeaways

Key Points

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Banker’s Bank – Definition. A bit more on which is just a Bankers’ Bank

Banker’s Bank – Definition. A bit more on which is just a Bankers’ Bank

A bankers’ bank is a kind of bank that transacts along with other financial institutions, this lender just provides monetary solutions to other banking institutions. A banker’s lender is oftentimes bigger than the bank that is normal set up banking institutions produce this particular financial institutions.

A banker’s bank interacts only with banks and not the general public unlike commercial banks that render services to the public such as the issuance of loans, acceptance of deposits and others.