The M2+ definition of the money supply includes:
A)M1 plus the M2.
B)M2 plus the coins and paper money held by the chartered banks.
C)M2 plus the deposits at trust and mortgage companies, credit unions, caisses populaires, and government savings institutions, plus money market mutual funds and life insurance annuities.
D)M2 plus the government securities held by the chartered banks.

Question

Quizplus · Accepted Answer

The M2+ definition of the money supply includes M2 plus deposits at trust and mortgage companies, credit unions, caisses populaires, and government savings institutions, plus money market mutual funds and life insurance annuities. This broader measure of the money supply includes more types of deposits and investments than M2 alone.

The M2+ Definition of the Money Supply Includes