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Money Supply: M0, M1, and M2 |
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Uploaded on Monday 22 June, 2020 to the illusion of money |
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How the money in circulation is measured |
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The various types of money in circulation are generally classified as M[?] according to the type and size of the account in which the instrument is kept, such as e.g. M0, M1 and M2. Not all of the classifications are widely used. Each country may use some other kind of classification. The money supply reflects the different types of liquidity that each type of money has in the economy, and it is broken up into different categories of spendability. This tutorial gives an introduction into how money is broken down and classified.
This video is courtesy of the Khan Academy whose YouTube channel is available here. |
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