Monetary Policy Improvement Act

[AI summary unavailable — showing source text] Monetary Policy Improvement Act - Amends the Federal Reserve Act to define the term "depository institution" to include federally insured banks, mutual savings banks, credit unions, and savings and loan institutions, and the term "transaction account" to mean a deposit or account on which the depository or account holder is allowed to make withdrawals by negotiable or transferable instrument for the purpose of making his payments to third persons. Authorizes the Board of Governors of the Federal Reserve System to require any depository institution to make such reports of its liabilities and assets as the Board determines necessary to control monetary and credit aggregates. Imposes reserve requirements on the demand and savings deposits of insured banks in excess of $40,000,000 in a ratio of nine percent. States that reserves shall be between eight and ten percent and that changes in the reserve ratio shall be made solely for the purpose of implementing monetary policy. Lowers reserve requirements for insured banks and for all other depository institutions. Establishes reserve requirements on time deposits of insured banks in excess of $40,000,000. Sets the limits of such ratios at …