Why is M2 sometimes a more stable measure of money than M1? Explain in your own words

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Why is M2 sometimes a more stable measure of money than M1? Explain in your own words using the definitions of M1 and M2.

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Principles of Macroeconomics

ISBN: 978-0134078809

12th edition

Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster

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Question Posted: Dec 27, 2018 07:16 AM

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Why is M2 sometimes a more stable measure of money than M1? Explain in your own words

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M 2 includes everything in M 1 plus savings accounts m...View the full answer

Principles of Macroeconomics

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