Which of the following is NOT included in M1?
A) savings accounts
B) deposits in checking accounts
C) deposits in checking accounts that pay interest
D) traveler's checks

Question

Quizplus · Accepted Answer

M1 only includes the most liquid forms of money, such as cash, deposits in checking accounts, and traveler's checks. Savings accounts are not considered part of M1 because they are not as easily accessible for spending. Deposits in checking accounts that pay interest are still considered part of M1 because they can be easily converted to cash.

Which of the Following Is NOT Included in M1