Someone who doesn't know the difference between the fed funds rate and the discount rate.
What discount rate do consumers use to weigh higher purchase cost now vs. fuel cost savings in the future?
This explains why the discount rate on acceptances ranges so low.
The "call rate" is commonly well below the regular "discount rate," or rate for thirty-day, sixty-day, or ninety-day paper.
Such a situation would doubtless lead to a sharp advance in the discount rate and to the importation of gold.
Then began a renewal of a demand for gold from the Continent, and the discount rate rose to 2-15/16.
Note: Because the Federal Reserve System lends money to the banking industry, one mechanism it has for regulating interest rates is to vary the discount rate — that is, to make the money that banks borrow relatively more or less expensive. It is likely to lower the discount rate during economic downturns to stimulate investment and raise it during upswings to check inflation.