GLOSSARY Terms related to the Federal Reserve, banking and economics   A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z |   economic growth An increase in the nation's capacity to produce goods and services.   economic shocks Events that impact the economy, come from outside it, and are unexpected and unpredictable (e.g., Hurricane Andrew in 1991, the rise in oil prices by OPEC).   electronic banking conducted by Automated Teller Machines (ATMs), telephones (not via the Internet) or debit cards.   electronic funds transfer (EFT) Transfer of funds electronically rather than by check or cash. The Federal Reserve's Fedwire and automated clearinghouse services are EFT systems.   Electronic Funds Transfer Systems (EFTS) A variety of systems and technologies for transferring funds (money) electronically rather than by check. Includes Fedwire, automated clearinghouses (ACHs) and other automated systems.   employment rate The percentage of the labor force that is employed. The employment rate is one of the economic indicators that economists examine to help understand the state of the economy. See also unemployment rate.   Equal Credit Opportunity Act Enacted in 1974, the Equal Credit Opportunity Act, or ECOA, seeks to ensure that non-credit-related factors, such as a person's race, national origin, or sex, do not enter into a decision to deny a person's request for credit.   equity Ownership interest in an asset after liabilities are deducted.   exchange rate The price of a country's currency in terms of another country's currency.   exempted security A security that is exempted from most provisions of the securities laws, including the margin rules. Such securities include U.S. government and agency securities, and municipal securities designated by the Securities and Exchange Commission.   expected rate of inflation The public's expectations for inflation. These expectations determine how large an effect a given policy action by the Fed will have on economic activity.