The most commonly quoted monetary aggregate is:
A)Money-market mutual fund shares
B)M1 since it is the most liquid
C)Public currency
D)M2 since its movement is most closely related to interest rates and economic growth

Question

Quizplus · Accepted Answer

M2 is the most commonly quoted monetary aggregate because it includes M1 (cash and checking deposits) plus savings deposits, money market securities, and other time deposits, making it a broader measure that is closely related to economic activity and interest rates.

The Most Commonly Quoted Monetary Aggregate Is