Glossary · Macro · Money and banking
Money supply (M1 and M2)
The total amount of money in the economy, counted in nested baskets. M1 is cash plus checking deposits, the money you can spend today. M2 adds savings deposits and other near-money that takes a step to spend. The central bank controls it, so on the money market graph it is a vertical line.
Also called: M1, M2, M0, monetary base
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