The sum of coins,currency,and checkable deposits is called
A) national income.
B) nominal GDP.
C) fractional reserves.
D) M1.
E) cash.

Question

Quizplus · Accepted Answer

The sum of coins, currency, and checkable deposits is an example of M1, which is a measure of the money supply that includes the most liquid forms of money. Options A, B, C, and E are not correct because they do not accurately describe the concept. National income is a measure of the total income earned by a country's citizens, nominal GDP is a measure of the value of all final goods and services produced in an economy, fractional reserves refer to the practice of banks keeping only a fraction of their deposits as reserves, and cash refers specifically to physical currency.

The Sum of Coins,currency,and Checkable Deposits Is Called