Multiple Choice
Why are funds in a savings account NOT considered part of the M1 money supply?
A) The funds do not provide a store of value.
B) The funds are not measured in a standardized unit of measure.
C) The funds are too liquid.
D) The funds are not immediately spendable as a medium of exchange.
Correct Answer:
Verified
Correct Answer:
Verified
Q37: Establishment of new government regulations that reduce
Q38: Currency is part of M2.
Q39: Liquidity refers to how<br>A) fast money can
Q40: Which asset is MOST liquid?<br>A) a house<br>B)
Q41: The quantity of loanable funds demanded by
Q43: Which statement is incorrect?<br>A) Near money cannot
Q44: A situation in which a family member
Q45: Money's most important function is to serve
Q46: Which statement is NOT true?<br>A) Contributions to
Q47: Ceteris paribus, suppose an economy institutes reforms