Business, 18.10.2019 19:00, squawk1738
There are two major ways of measuring money, m1 and m2. which statement is true about the measuring of m1 and m2?
(a)-m2 is measured by the transactions approach which stresses the role of money as a medium of exchange while m1 is measured by the liquidity approach which stresses the role of money as a temporary store of value.
(b)-m1 is measured by the transactions approach which stresses the role of money as a medium of exchange while m2 is measured by the liquidity approach which stresses the role of money as a temporary store of value.
(c)- m2 is measured by considering that people use money to make payments for goods and services and that prices are quoted in terms of money values and m1 is measured by considering that money can be used for future use in exchange and that loans can be repaid with money.
(d) m1 is measured by considering that people use money to make payments for goods and services and that prices are quoted in terms of money values and m2 is measured by considering that money can be used for future use in exchange and that loans can be repaid with money.
Answers: 1
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