If Households in the Economy Decide to Take Money Out

question 199

Multiple Choice

If households in the economy decide to take money out of checking account deposits and put this money into savings accounts,this will initially

• A)decrease M1 and increase M2.
• B)decrease M1 and decrease M2.
• C)decrease M1 and not change M2.
• D)increase M1 and decrease M2.

---

Definitions:

Self-awareness

The awareness of an individual's own personality, emotions, intentions, and wishes.

18-24 Months

A developmental timeframe referring to children aged one and a half to two years, significant for various physical and cognitive milestones.

12-15 Months

A developmental period in infants characterized by rapid growth in mobility, communication skills, and the emergence of a sense of autonomy.

Individualist Cultures

Societies that emphasize personal achievements, independence, and self-expression over group goals and cohesion.