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Table 16-1 -Refer to Table 16-1

Question 93

Multiple Choice

Table 16-1. The information in the table pertains to an imaginary economy.  Type of Money  Amount  Large time deposits $80 billion  Small time deposits $75 billion  Demand deposits $75 billion  Other checkable deposits $40 billion  Savings deposits $10 billion  Traveler’s checks $1 billion  Money market mutual funds $15 billion  Currency $110 billion  Credit card balances $10 billion  Miscellaneous categories of M2 $25 billion \begin{array}{|l|l|}\hline \text { Type of Money } & \text { Amount } \\\hline \text { Large time deposits } & \$ 80 \text { billion } \\\hline \text { Small time deposits } & \$ 75 \text { billion } \\\hline \text { Demand deposits } & \$ 75 \text { billion } \\\hline \text { Other checkable deposits } & \$ 40 \text { billion } \\\hline \text { Savings deposits } & \$ 10 \text { billion } \\\hline \text { Traveler's checks } & \$ 1 \text { billion } \\\hline \text { Money market mutual funds } & \$ 15 \text { billion } \\\hline \text { Currency } & \$ 110 \text { billion } \\\hline \text { Credit card balances } & \$ 10 \text { billion } \\\hline \text { Miscellaneous categories of M2 } & \$ 25 \text { billion } \\\hline\end{array}

-Refer to Table 16-1. What is the M2 money supply?


A) $125 billion
B) $296 billion
C) $351 billion
D) $431 billion

Correct Answer:

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