The largest component of M1 is
A) checkable deposits.
B) credit card balances.
C) currency.
D) savings deposits.

Question

Quizplus · Accepted Answer

Checkable deposits are the largest component of M1, which is a measure of the money supply that includes currency, traveler's checks, demand deposits (checking accounts), and other checkable deposits. This is because checkable deposits are very liquid and easily accessible, making them a widely accepted form of payment.

The Largest Component of M1 Is