How would the following influence M1 and M2 money supply figures? a. An increase in the quantity

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How would the following influence M1 and M2 money supply figures?

a. An increase in the quantity of U.S. currency held overseas

b. A shift of funds from interest-earning checkable deposits to money market mutual funds

c. A shift from currency to checkable deposits by the general public because debit cards have become more popular and widely accepted

d. The shift of funds from money market mutual funds into stock and bond mutual funds because the fees to invest in the latter have declined.

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Macroeconomics Private And Public Choice

ISBN: 9780357134009

17th Edition

Authors: James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

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Question Posted: Oct 06, 2023 10:01 AM

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How would the following influence M1 and M2 money supply figures? a. An increase in the quantity

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a The currency outstanding is included in both the M1 and M2 money supply regardless of whether it i...View the full answer

Macroeconomics Private And Public Choice

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