1. In the United States today, which of the items in List 1 are money? 2. In...
Question:
1. In the United States today, which of the items in List 1 are money?
2. In January 2016, currency held by individuals and businesses and traveler’s checks were $1,347 billion; checkable deposits owned by individuals and businesses were $1,764 billion; savings deposits were $8,189 billion; small time deposits were $400 billion; and money market funds and other deposits were $709 billion. Calculate M1 and M2 in January 2016.
3. In May 2016, M1 was $3,239 billion; M2 was $12,731 billion; checkable deposits owned by individuals and businesses were $1,861 billion; small time deposits were $393 billion; and money market funds and other deposits were $706 billion. Calculate currency held by individuals and businesses and traveler’s checks. Calculate savings deposits.
Step by Step Answer: