The LARGEST Monetary Aggregate Is

question 117

Multiple Choice

The LARGEST monetary aggregate is:

• A) M1, because it contains all of the currency in circulation.
• B) M2, because it contains currency in circulation, all bank deposits, other deposits, and deposit-like assets.
• C) the reserves in the vaults of Federal Reserve banks, because they are the money multiplier.
• D) the total volume of stocks and bonds, because they store most of the national wealth.

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Definitions:

Clavicle

A bone located in the upper part of the chest (thoracic area) that serves as a strut between the shoulder blade and the sternum or breastbone; commonly known as the collarbone.

Humerus

The long bone in the upper arm that runs from the shoulder to the elbow.

Radius

A bone in the forearm that is located on the lateral side (thumb side) of the forearm, extending from the elbow to the wrist.

Carpals

The eight small bones that make up the wrist, connecting the hand to the forearm.