Checking account deposits are counted in M1, but savings account deposits are not because

A) checking deposits can be used for payment; cash in savings cannot.
B) checking deposits are a form of consumption; savings deposits are a form of investments.
C) Trick question! Neither type is counted in M1.
D) Trick question! Both deposit types are counted in M1.


A

Economics

You might also like to view...

If the government provides a subsidy to producers, what is the effect of this policy in a supply and demand diagram?

A) The demand curve shifts leftward and the price rises. B) The supply curve shifts rightward and the price falls. C) The supply curve shifts leftward and the price falls. D) The supply curve shifts leftward and the price rises. E) The demand curve shifts rightward and the price rises.

Economics

Describe a situation in which a one-way speculative gamble would be possible and explain the effects that this type of speculation would have on a country trying to maintain its fixed exchange rate.

What will be an ideal response?

Economics

An increase in consumer wealth shifts the consumption function upward

a. True b. False Indicate whether the statement is true or false

Economics

Describe how Mexico's manufacturing has changed location and type over time

What will be an ideal response?

Economics