Use the following list to answer the question about the money supply.
Items
1. Money market mutual funds held by individuals
2. Savings deposits, including money market deposit accounts
3. Money market mutual funds held by businesses
4. Currency held by the public
5. Small time deposits
6. Checkable deposits
Refer to the list above. The M1 money supply is composed of items:
A. 5 and 6
B. 4 and 6
C. 6 and 7
D. 1 and 4
B. 4 and 6
You might also like to view...
A monetary growth rule means that
A) the Fed will raise interest rates if it thinks the economy is growing faster than potential. B) the money supply should grow at a constant rate. C) the Fed will lower interest rates if it thinks a recession is on the horizon. D) the money supply should grow in response to economic conditions.
The figure below shows the supply and demand curves for oranges in Smallville.
At the price of $4 per pound, sellers offer ________ pounds of oranges per day, and buyers want to purchase ________ pounds of oranges a day.
A. 10; 20 B. 10; 30 C. 20; 20 D. 30; 10
Over time, the supply of a particular good or service tends to
A. become more elastic. B. become less elastic. C. stay about the same.
Economists ________ because even firms in highly concentrated industries can be pushed to produce efficiently under certain market circumstances.
A. no longer attack industry concentration at all B. continually attack industry concentration C. no longer attack industry concentration with the same fervor they once did D. attack industry concentration with much more fervor than they once did