U.S. Treasury deposits at the Fed are
A) part of M1, M2, and M3.
B) part of M1 and M2.
C) part of M1.
D) not part of the money supply.

Name: U.S. Treasury deposits at the Fed are A) part of M1, M2, and M3. B) part of M1 and M2. C) part of M1. D) not part of the money supply.
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Question

Quizplus · Accepted Answer

U.S. Treasury deposits at the Fed are not part of the money supply. They are considered as reserves and do not circulate within the economy as a medium of exchange.

U.S. Treasury Deposits at the Fed Are