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GenaCL600 [577]
2 years ago
6

The United States’ central bank, the , holds the account balances of the country’s commercial banks. These are called .

Business
1 answer:
kozerog [31]2 years ago
8 0

Answer:

Reserves

Explanation:

The Federal Reserve is the regulator and banker to commercial banks in the US. All commercial banks are required to open and operate an account with the Federal Reserve. The money that commercial banks deposits in their accounts at the federal reserve is known as reserves.

The Federal reserves use the reserves just as the commercial banks make use of customer deposits. 'Bank reserves' is another term that refers to commercial bank deposits.

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