reserve

準備　—　Institutions

Gold, silver or foreign money kept on hand to meet demands to pay.

Twenty-dollar Federal Reserve note (1914 series) — A photograph of the real thing this term names.

One-dollar Federal Reserve note (current) — A photograph of the real thing this term names.

⚠ Reserves do not cover the full value of the banknotes issued. Holding full reserves would be safe, but it would defeat the purpose of issuing banknotes. Determining how thin these reserves can be is the essence of the work of a central bank.

Related terms

central bank convertibility specie

Terms explained using this word

the gold standard vault discipline

Courses where this term appears

A06 The World of the Gold Standard B07 War and Money B12 Banking and Credit B13 International Currency B15 The Anatomy of Inflation B18 The History of Collecting B19 Modern Money C14 The Collectors E10 The Technique of Discovery P6 Principles of Growth and Preservation P7 The Future of Money P8 Money and People

Where this word appears

Overview: 2,700 years of the world　United States　The Secret Meeting on Jekyll Island
Overview: 2,700 years of the world　War and money　A Currency to Prevent War
United States　The thirty years' war of gold and silver　Washington, the federal Congress
United States　Jekyll Island　Washington, the drafting desk
United States　1913　Washington
United States　The far shore of the war　The board room of the Federal Reserve
United States　1929　The Federal Reserve System
United States　The spring they let go of gold　The Congress of the United States

and 50 more chapters

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