VIII. Give terms for the following definitions

1. The bank in a country usually having official standing in the government, having responsibility for issuing banknotes, and acting as banker to the government and the banking system.

2. A motive for holding money arising from uncertainty by which people hold money to meet contingences the exact nature of which cannot be foreseen.

3. The role of the Central bank whereby it stands ready to lend to banks and other financial institutions when financial panic threatens the financial system.

4. The interest rate that the central bank charges when the commercial banks want to borrow money.

5. A minimum ratio of cash reserves to deposits which the central bank requires commercial bank to hold.

6. A motive for holding money arising because people dislike risk and are prepared to sacrifice a high average rate of return to obtain a portfolio with lower but more predictable rate of return.

7. The value of money holdings uncorrected for the price level.

8. A motive for holding money reflecting the fact that payments and receipts are not perfectly synchronized.

9. The set of judgements by which the Bank of England decides the details of new-securities in relation to redemption date and rate of interest.

10. A control measure whereby the commercial banks must deposit at the bank of England some of their cash reserves, which couldn't be counted as part of the bank's cash reserves in meeting their reserve requirements.

11. The interest given up by holding money rather than bonds.