Geldmengenaggregate

Geldmengenaggregate, or money aggregates, are statistical measures used to quantify the total amount of money in circulation within an economy. These aggregates are categorized based on the liquidity of the money, with more liquid assets being included in the smaller aggregates and less liquid assets in the larger ones. The most commonly used money aggregates in economics are M0, M1, M2, and M3.

M0, also known as high-powered money, includes cash in circulation and demand deposits. It represents the most liquid form of money and is used as a benchmark for monetary policy.

M1, or narrow money, includes M0 plus checkable deposits, which are deposits that can be accessed with a check. This aggregate is used to measure the money supply that is readily available for transactions.

M2, or broad money, includes M1 plus savings deposits, money market mutual funds, and small-denomination time deposits. This aggregate is used to measure the money supply that is more broadly available for transactions.

M3, or very broad money, includes M2 plus large-denomination time deposits, repurchase agreements, and other less liquid assets. This aggregate is used to measure the total money supply in the economy.

Money aggregates are important tools for economists and policymakers as they provide insights into the liquidity and availability of money in the economy. They are used to monitor the effectiveness of monetary policy, assess the health of the financial system, and make informed decisions about economic policy.