Pull the rope to the right measure

Exercise and reference answers

Categories

1. M1 money supply
2. M2 money supply

Questions

1. Answer

   M1 money supply

   Question

   Coins and currency in circulation.

2. Answer

   M1 money supply

   Question

   Checkable, or demand, deposits.

3. Answer

   M1 money supply

   Question

   Traveler's checks.

4. Answer

   M2 money supply

   Question

   Savings deposits in banks.

5. Answer

   M2 money supply

   Question

   The broader of the two definitions.

6. Answer

   M1 money supply

   Question

   The narrower of the two definitions.

7. Answer

   M2 money supply

   Question

   Accounts you cannot write a check on.

8. Answer

   M2 money supply

   Question

   Everything in M1, plus more deposits.

Instructions

Tap the side of the rope that each item belongs to.

Explanation