7. The M2 measure of money supply includes all of the following, except: a. demand deposits. b. U.S. government securities. c. savings deposits. d. money market deposits. e. certificates of deposit. 8. Which of the following is true of international reserve currencies? a. They are used for international exchange of goods and services. b. They are used to settle international debt. c. They are used for international bookkeeping. d. They are held for government investment abroad. e. They are created for international stock market trading. 9. The Gramm-Leach-Bliley Act (GLBA), passed by the U.S. Congress in the year 1999, allows commercial banks to: a. operate in all foreign countries. b. open new branches in Cuba. c. expand their business into other areas of finance, including insurance and selling securities. d. raise reserve requirements for other financial institutions. e. eliminate unit banking. The table given below shows the components of money supply in an economy. Table 12.1 Money Component Amount (in millions) Currency $550 Travelers' Checks $20 Savings Deposits $180 NOW Accounts $185 Small-Denomination Time Deposits $620 Retail Money Market Mutual Funds $605 ATS Accounts $180 Demand Deposits $210 10. Refer to Table 12.1 and calculate the value of M1. a. $550 million b. $570 million c. $780 million d. $1,125 million e. $1,145 million 11. The main source of earning profits for banks is: a. government securities. b. saving accounts. c. reserves. d. loans. e. checking acc