Broad Money

Dictionary Says

Definition of 'Broad Money'

In economics, broad money refers to the most inclusive definition of the money supply. Since cash can be exchanged for many different financial instruments and placed in various restricted accounts, it is not a simple task for economists to define how much money is currently in the economy. Therefore, the money supply is measured in many different ways. Broad money is used colloquially to refer to a broad definition of the money supply. 

Investopedia Says

Investopedia explains 'Broad Money'

In the U.S. the most common measures of the money supply are termed M0, M1, M2 and M3. These measurements vary according to the liquidity of the accounts included. M0 includes only the most liquid instruments, and is therefore narrowest definition of money. M3 includes includes liquid instruments as well as some less liquid instruments and is therefore considered the broadest measurement of money. Complicating the situation, different countries often define their measurements of the money slightly differently. In academic settings, the term "broad money" should be separately defined in order to prevent potential misunderstandings.    

Related Definitions

Search results for

'Broad Money'

  • What Investment Is Best For You?

    http://www.investopedia.com/articles/pf/08/money-manager-or-alone.asp
    ... to diversify away risk, as they too invest in or mimic broad indexes ... Hand Holding
    Many money managers and investment advisors will take phone calls and discuss ...
  • The Evolution Of Money Management

    http://www.investopedia.com/articles/financialcareers/09/money-management-evolution.asp
    ... The act gave the SEC broad powers to prosecute money managers and encouraged
    states to set their own additional regulations. Thirty ...
  • How Social Media Can Help Consumers Save Money - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1111/How-Social-Media-Can-Help-Consumers-Save-Money.aspx
    ... (For related reading on utilizing the second-hand market, see Go Green, Save Money.)
    The Bottom Line Social media is a broad concept, and one which is driven ...
  • Apple Still Minting Money

    http://stocks.investopedia.com/stock-analysis/2010/Apple-Still-Minting-Money-AAPL-AMZN-INTC-GOOG-RIMM0127.aspx
    ... It's no longer a surprise when Apple (Nasdaq:AAPL) makes money, but what is ... The
    company's continued innovation and broad appeal is found in very few companies ...
  • 5 Money-Saving Reasons To Check Your Explanation Of Benefits ...

    http://financialedge.investopedia.com/financial-edge/0611/5-Money-Saving-Reasons-To-Check-Your-Explanation-Of-Benefits-Statement.aspx
    ... garbage, it contains valuable information that could save you money in the ... If your
    statement shows grouped charges under broad categories, making it difficult ...
  • Money Grows On Trees

    http://stocks.investopedia.com/stock-analysis/2010/Money-Grows-On-Trees-CUT-WOOD-PCH-PCL1117.aspx
    ... Money Grows On Trees. Posted ... investors. For investors looking for a
    broad-based play on timberland, there are two ETFs in the sector. ...
  • The Next Best Thing To Printing Money

    http://stocks.investopedia.com/stock-analysis/2010/The-Next-Best-Thing-To-Printing-Money-INWK-CVO-BNE-LABL-SGK0224.aspx
    ... As for "evidence", a few key news items are clear, but I think we can infer something
    broad from something specific. ... You get the idea, money is flowing. ...
  • How To Invest Like An Endowment

    http://www.investopedia.com/articles/financial-theory/09/ivy-league-endowments-money-management.asp
    ... also follow a well-documented spending policy that lays down broad guidelines for ...
    the purpose for which the income generated from donated money could be used. ...
  • Overview Of The Mutual Fund Industry | Investopedia

    http://www.investopedia.com/university/quality-mutual-fund/chp1-Introduction
    ... and money market instruments. A mutual fund provides individual investors with a
    convenient form of investing, professional management, broad diversification ...
  • Overview Of The Mutual Fund Industry | Investopedia

    http://www.investopedia.com/university/quality-mutual-fund/chp1-Introduction/
    ... and money market instruments. A mutual fund provides individual investors with a
    convenient form of investing, professional management, broad diversification ...

Related Articles

Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
Partner Links