What Happens to M1 and M2 Due to Each of the Following

question 30

Essay

What happens to M1 and M2 due to each of the following changes?
(a)You take $500 out of your checking account and put it into a passbook savings account.
(b)You take $1000 out of your checking account and buy traveler's checks.
(c)You take $1500 out of your money-market mutual fund and deposit into your checking account.
(d)You cash in $2000 in savings bonds and invest the money in a certificate of deposit.

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Definitions:

Organizational

Pertaining to the structure and functioning of an organization, including its processes, policies, and procedures.

Engaged People

Individuals who are fully absorbed by and enthusiastic about their work and so take positive action to further the organization’s reputation and interests.

Work Performance

The effectiveness and efficiency with which an individual or group accomplishes tasks and goals in a job setting.

Absenteeism

The frequent absence from work or other commitments without good reason, often used as an indicator of employee disengagement or dissatisfaction.