When the Fed lends to depository institutions, the loans are called

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The Fed's loans to depository institutions are called discount loans, which are made at the discount rate. Federal funds refer to short-term loans between banks that are used to meet reserve requirements or to cover temporary cash shortages. Repurchase agreements involve the Fed buying securities from banks with an agreement to sell them back at a later date, while reverse repurchase agreements involve the Fed selling securities with an agreement to buy them back at a later date.

When the Fed Lends to Depository Institutions, the Loans Are