2. Money Supply in Hong Kong Credit Creation & Bank Multiplier

3. Money Supply in Hong Kong Saving Deposits in LB Deposits in DTC TimeDeposits in LB Deposits in RLB Cheque of Demand Deposit

4. Two Main Functions of Money Medium of Exchange Store of Value

5. Cheque of Demand Deposit Medium of Exchange M1

6. Saving & Time Deposits in LB Store of Value M1M1 M2

7. Deposits in RLB & DTC Also Store of Value M3 M2

8. Money Supply in Hong Kong M1M1 –emphasizes the function of medium of exchange –includes the coins & notes in the hand of the public and demand deposits in LB. M2M2 –emphasizes the function of store of value –includes M1 and Saving & Time Deposits in LB. M3M3 –also emphasizes the function of store of value –includes M2 and Deposits in RLB and DTC.

9. M1 Notes & coins in hands of publicNotes & coins in hands of public Demand deposits with LBDemand deposits with LB

10. M2M2M2M2 M1M1 Saving and Time Deposit with LBSaving and Time Deposit with LB Negotiable certificates of deposit issued by LBNegotiable certificates of deposit issued by LB

11. M3M3M3M3 M2M2 Time Deposit with RLB & DTCTime Deposit with RLB & DTC Negotiable certificates of deposit issued by RLB & DTCNegotiable certificates of deposit issued by RLB & DTC

13. P.C. Ed. 1996-97 Major Economics Designed by Eric Leung $