macro

Money Supply (M2)

Money Supply, commonly referred to as M2, is a broad measure of the money available in the economy that includes cash and checking deposits (M1) plus near-money assets such as savings deposits, money market deposit accounts, and small-denomination time deposits.

Example: Economists noted that M2 increased by 4% year over year in the latest report, indicating higher liquidity in the system, while inflation readings were mixed.

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