--- title: "Meaning & Key Takeaway of: As a reminder, among other things, the…" description: "\"“As a reminder, among other things, the FOMC sets the fed funds interest rate, the rate at which commercial banks lend reserve balances to each other o..." image: "https://sms4smile.com/quotes/i/df6/danielle-dimartino-booth-24430_interest-rate_as-a-reminder-among-other-things-the-fom_1219436.jpg" --- # As a reminder, among other things, the FOMC sets the fed… ![“As a reminder, among other things, the FOMC sets the fed funds interest rate, the rate at which commercial banks lend reserve balances to each other on an uncollateralized basis in the overnight market.” quote by Danielle DiMartino Booth](https://sms4smile.com/quotes/i/df6/danielle-dimartino-booth-24430_interest-rate_as-a-reminder-among-other-things-the-fom_1219436.jpg) [Download](https://sms4smile.com/quotes/i/df6/danielle-dimartino-booth-24430_interest-rate_as-a-reminder-among-other-things-the-fom_1219436.jpg) [Open image](https://sms4smile.com/quotes/i/df6/danielle-dimartino-booth-24430_interest-rate_as-a-reminder-among-other-things-the-fom_1219436.jpg) > ““As a reminder, among other things, the FOMC sets the fed funds interest rate, the rate at which commercial banks lend reserve balances to each other on an uncollateralized basis in the overnight market.”” [Danielle DiMartino Booth](https://sms4smile.com/quotes/author/danielle-dimartino-booth/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. The FOMC determines the overnight rate banks use to lend reserves, shaping overall monetary policy. **In simple terms:** FOMC sets the overnight interbank rate. Key Takeaway Understand the Fed’s role in setting rates. Themes economics policy finance Mood informative technical Type explanatory educational When to use this quote - investment decisions - personal budgeting - business financing Key Concepts monetary policy interest rates banking system Questions to Reflect On - How does the fed funds rate affect everyday loans? - Why is an uncollateralized rate important? A Different Perspective Complex jargon may confuse non‑experts; policy impact varies over time. ★ ★ ★ ★ ★ No ratings yet [Customer](https://sms4smile.com/quotes/about/customer/) [Investing](https://sms4smile.com/quotes/about/investing/) ## Related quotes > [The central banks cannot control interest rates. That's a mistake. 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