Are Checking Accounts M1 or M2?

Money is measured with several definitions: M1 includes currency and money in checking accounts (demand deposits). ... M2 includes all of M1, plus savings deposits, time deposits like certificates of deposit, and money market funds.

Are checking accounts included in M1?

M1 includes demand deposits and checking accounts, which are the most commonly used exchange mediums through the use of debit cards and ATMs. Of all the components of the money supply, M1 is defined the most narrowly. M1 does not include financial assets, such as savings accounts and bonds.

Is M2 a checking account?

M2 is a measure of the money supply that includes cash, checking deposits, and easily convertible near money. M2 is a broader measure of the money supply than M1, which just includes cash and checking deposits.