Read the two statements and choose the correct option.
I. M2 includes savings deposits with post office savings banks.
II. M3 includes savings deposits with post office savings banks.

Only ICorrect answerYour answerOnly IICorrect answerYour answerBoth I and IICorrect answerYour answerNeither I nor IICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer A

Correct answer: A

M2 = M1 + post office savings deposits. I is true.
M3 = M1 + bank time deposits; post office deposits come back only in M4. II is false.

Ten questions from Money and Its Functions, at your own pace.

Ten questions from Money and Its Functions, at your own pace.

Read the two statements and choose the correct option.I. M2 includes savings deposits with post office savings banks.II. M3 includes savings deposits with post office savings banks.