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Q: Are treasury bills considered in M1 or M2 money supply?
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How do they increase the money supply in the economy?

They print more bills in the Treasury.


Why does the state bank of Pakistan issue treasury bills?

State bank of Pakistan issus T-bills for the in-take of money


What does it mean by contract the money supply?

It means to decrease, or lower, the money supply. EXAMPLE: The feds sold treasury bonds and bills in order to contract (decrease) money supply.


Which of the money market securities is the most liquid and considered the most risk-free?

Treasury bills


What is the definition of Treasury Bill?

definition of TREASURY BILLS is... treasury bills are issued by the state bank or central bank against the loan or money taken by federal government of that state.


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treasury bills


Are financial assets traded in money markets?

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How the treasury uses the primary market to obtain adequate funding?

The Treasury uses the Primary market to obtain adequate funding by auctioning off treaury bills during weekly auctions. It auctions off money bills to make money.


Which diagram provides an accurate example of how the government uses open market operations?

the money supply is increased


Money Market Instruments in nigeria in 2009?

The major money market instrument are treasury bills and bonds, federal agency.


What is the purpose of buying treasury bills?

Treasury bills are a low-risk investment. Like any good investment, the investor receives more money than was initially spent. Treasury bills offer meager profit compared to other investments, but are very low-risk. They also mature (pay out) quickly, so the investor's money is not locked away for too long.


Asset or liability us treasury bills?

US treasury bills can be either an asset or a liability. They can be a safe way to hold money because the funds are backed by the US government. Alternatively, the interest return on these is low.