the economics of money, banking, and financial markets

81 #

© 2014 Pearson Canada Inc.#

7. 
   

   The currency component includes paper money and coins held in ____.
   A) bank vaults
   B) ATMs
   C) the hands of the nonbank public
   D) the central bank
   Answer: C
   Diff: 1 Type: MC Page Ref: 53
   Skill: Recall
   Objective List: 3.4 Explain money measurement matters

   
   


8. 
   

   The components of the M1+ monetary aggregate are chequable deposits plus ____.
   A) currency
   B) currency plus savings deposits
   C) currency outside banks
   D) currency plus money market deposits
   Answer: C
   Diff: 2 Type: MC Page Ref: 53
   Skill: Recall
   Objective List: 3.4 Explain money measurement matters

   
   


9. 
   

   The M1+ measure of money includes ____.
   A) small denomination time deposits
   B) chequable deposits
   C) money market deposit accounts
   D) money market mutual fund shares
   Answer: B
   Diff: 1 Type: MC Page Ref: 53
   Skill: Recall
   Objective List: 3.4 Explain money measurement matters

   
   


10. 
    

    Which of the following is not included in the measure of M2?
    A) Personal deposits
    B) Non-personal demand deposits
    C) Currency
    D) Foreign currency deposits
    Answer: D
    Diff: 1 Type: MC Page Ref: 53
    Skill: Recall
    Objective List: 3.4 Explain money measurement matters