P5: The following information is available to you: travelers’ checks = $1 million; coin and paper currency = $30 million; repurchase agreements and Eurodollars = $15 million; demand deposits = $25 million; retail money market mutual funds = $60 million; savings accounts at depository institutions = $40 million; checkable deposits at depository institutions = $35 million; large-denomination time deposits = $50 million; institutional money market mutual funds = $65 million; and small-denomination time deposits = $45 million. Using Federal Reserve definitions, determine the dollar sizes of the
a.M1 money supply
Traveler’s check $1 million
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Other checkable deposits 35
M1 Money supply $? million
b. M2 money supply
M1 Money supply $91 million
Retail money market mutual funds 60
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M2 Money supply $? million
c. M3 money supply $? Million
Repurchase agreements and Eurodollars 15
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M3 money supply ? million
0 answers