The Difference Between M1 and M2 Is That

question 221

Multiple Choice

The difference between M1 and M2 is that

• A) the former includes time deposits.
• B) the latter includes small-denominated time deposits, savings accounts, money market deposit accounts, and money market mutual fund balances.
• C) the latter includes negotiable government bonds.
• D) the latter includes cash held by commercial banks and the U.S. Treasury.

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Definitions:

Season Tickets

A type of ticket that grants the holder access to a set number of events, typically for sports teams, theaters, or public transport, over a specific period.

Football Season

The period during the year when football games are officially organized and played across various leagues and competitions.

Productive Facilities

Assets such as factories and machinery used in the production of goods and services.

Accounting Standpoint

A perspective or basis from which financial transactions and conditions are analyzed or assessed.