Money market mutual funds are included in
A)M1 but not M2.
B)M1 and M2.
C)M2 but not M1.
D)neither M1 nor M2.

Question

Quizplus · Accepted Answer

Money market mutual funds are included in M2, which consists of M1 (currency, checking accounts, and traveler's checks) and certain types of savings accounts, time deposits, and money market funds. Therefore, they are not included in M1 alone, but only in the broader money supply measure of M2.

Money Market Mutual Funds Are Included in