What is the U.S. money supply? What will be an ideal response?

QUESTION

What is the U.S. money supply?

What will be an ideal response?

ANSWER

Answer: The U.S. money supply is defined as the amount of money the Federal Reserve System makes available for people to buy goods and services. The money supply is customarily referred to in two ways—as M1, the narrowest measure, or M2, a more generous and more commonly used measure.
Explanation: The U.S. money supply is defined as the amount of money the Federal Reserve System makes available for people to buy goods and services. The money supply is customarily referred to in two ways—as M1, the narrowest measure, or M2, a more generous and more commonly used measure.