1. 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.