Currency in circulation represents around 9 percent of the M1+ money supply.

Question

Quizplus · Accepted Answer

Currency in circulation includes physical currency (coins and banknotes) outside of banks and is considered a component of M1 money supply, which includes cash, checking accounts, and other highly liquid forms of money. As of November 2021, currency in circulation in the US was approximately $2.19 trillion, while M1 money supply was approximately $7.26 trillion, making currency in circulation around 30 percent of M1 money supply.

Currency in Circulation Represents Around 9 Percent of the M1