Notes on the Money Market and LM Curve – Eco 3202 – Fall ...
May 17, 2002 · This interbank market is known as the federal funds market and the effective interest rate on daily transactions in this market is known as the federal funds rate. As of September 2004, U.S. commercial banks reported about $360 billion in daily average interbank loans, mostly federal funds loans—so you can see this is a very important market ... ................
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