^{In 2002, the difference between M}1 ^{measured at $1,201 billion and M}2 ^was A) less than $0.5 trillion. B) approximately $1 trillion. C) nearly $3.5 trillion. D) over $5 trillion. E) approximately $4.6 trillion.

Question

Quizplus · Accepted Answer

M2 = M1 + time deposits + savings deposits + money market accountsM2 - M1 = time deposits + savings deposits + money market accountsM2 - M1 = $4,600 billion - $1,201 billion = $3,399 billion

In 2002, the Difference Between M1 measured at $1,201 Billion

^{In 2002, the Difference Between M}1 ^{measured at $1,201 Billion}