(Currency held outside banks + demand deposits + other checkable deposits + traveler's checks + savings accounts + money market accounts + other near monies) =

Question

Quizplus · Accepted Answer

This equation represents the components of M2, which includes all of the components of M1 (currency held outside banks + demand deposits + other checkable deposits + traveler's checks) as well as savings accounts, money market accounts, and other non-cash assets that can be easily converted into cash.

(Currency Held Outside Banks + Demand Deposits + Other Checkable