The sum of the Fed's monetary liabilities and the U.S. Treasury's monetary liabilities is called

Question

Quizplus · Accepted Answer

The monetary base is the sum of the Fed's monetary liabilities (such as currency in circulation and reserves held by banks at the Fed) and the U.S. Treasury's monetary liabilities (such as coins in circulation and Treasury deposits at the Fed). It is also known as high-powered money and serves as the foundation for the money supply.

The Sum of the Fed's Monetary Liabilities and the U