<p>M1 is supposed measure all money outside the Treasury, Fed and depository institutions (<a href="https://fred.stlouisfed.org/series/M1SL" rel="nofollow noreferrer">FRED</a>).</p>
<p>Foreign central banks are not part of Fed, they are not part of the Treasury and modern central banks are not depository institutions either.</p>

CC BY-SA 4.0
2022-11-30T15:36:59.540Z
2022-11-30T15:36:59.540Z
WilliamT
<p>The  <span class="math-container">$M_1$</span> component of the money supply is given by the sum of the value of money held by the public+the demand deposits in the country + other deposits(money of other government institutions held by the central bank + deposits of international organisations+ deposits from other central banks), however, I'm not sure why we include the deposits of other country's banks if we exclude what the central government deposits in the central bank.</p>
<p>Could someone help?</p>

<supply-and-demand><money-supply><money>
Q question on the components of the $M_1$ component of money supply
math and physics forever
# Q question on the components of the $M_1$ component of money supply

(Asked by: username_0 on 2022-11-30)

The $M\_1$ component of the money supply is given by the sum of the value of money held by the public+the demand deposits in the country + other deposits(money of other government institutions held by the central bank + deposits of international organisations+ deposits from other central banks), however, I'm not sure why we include the deposits of other country's banks if we exclude what the central government deposits in the central bank.

Could someone help?

**Tags:** supply-and-demand, money-supply, money


---

## 1 answers

### Answer by username_1 on 2022-11-30. Score: 1 | Accepted answer

M1 is supposed measure all money outside the Treasury, Fed and depository institutions ([FRED](https://fred.stlouisfed.org/series/M1SL)).

Foreign central banks are not part of Fed, they are not part of the Treasury and modern central banks are not depository institutions either.


---

