Overnight Repurchase Agreements Are Not Included in Which of the Following

question 81

Multiple Choice

Overnight repurchase agreements are not included in which of the following definition of the money supply?

• A) M1
• B) M2
• C) M3
• D) M4

---

Definitions:

Perfectly Elastic

Describes a situation in economics where the quantity demanded or supplied responds infinitely to changes in price.

Down-sloping

A characteristic of certain economic graphs, like demand curves, which indicates that as the price of an item goes down, demand for it increases.

Demand

The quantity of a product or service that consumers are willing and able to purchase at various price levels, holding all other factors constant.

Supply Curve

A graphical representation that shows the relationship between the price of a good or service and the quantity of that good or service that a supplier is willing and able to supply at those prices.