2. Suppose that a small country currently has $4 million of currency in circulation, $6 million of checkable deposits, $200 million of savings deposits, $40 million of small-denominated time deposits, and $30 million of money market mutual fund deposits. From these numbers we see that this small country’s M1 money supply is , while its M2 money supply is . LO34.2

a. $10 million; $280 million.

b. $10 million; $270 million.

c. $210 million; $280 million.

d. $250 million; $270 million.