discount rate
The rate, per year, at which future values are diminished to make them comparable to values in the present. Can be either subjective (reflecting personal time preference) or objective (a market interest rate). The interest rate that the Fed charges commercial banks for very short-term loans of reserves. One of the tools of monetary policy.
Browse by Subjects
Accepting Houses Committee
Federal Reserve Board (FRB)
Federal Reserve Discount Rate
certificate of deposit
See All Related Terms »

Commodity agreement
Debt bomb
registered trademark
post acquisition