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March 23, 2023 

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SAVINGS DEPOSITS: Accounts maintained by banks, savings and loan associations, credit unions, and mutual savings banks that pay interest but can not be used directly as money. These accounts, also termed transactions deposits, let customers set aside a portion of their liquid assets that COULD be used to make purchases. But to make those purchases, savings account balances must be transferred to checkable deposits or currency. However, this transference is easy enough that savings accounts are often termed near money. Savings accounts, as such constitute a sizeable portion of the M2 monetary aggregate.

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MERIT GOOD: A good that society, usually government, deems is undervalued by consumers in normal market exchanges. As such, governments typically promote the consumption of merit goods through policies such as price subsidies or direct government provision. Merit goods are often quasi-public goods or have externality by-products. Examples include education and health care. The counter type of good is a demerit good.

     See also | good | good types | externalities | near-public good | quasi-public good | by-product | government functions | demerit good | voluntary exchange |


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SERVICES, CONSUMPTION

Personal consumption expenditures on activities that provide direct satisfaction of wants and needs without the production of tangible goods. Common examples are information, entertainment, and education. This is one of three categories of personal consumption expenditures in the National Income and Product Accounts maintained by the Bureau of Economic Analysis. The other two are durable goods and nondurable goods. Services are about 60 percent of personal consumption expenditures and 40 percent of gross domestic product.

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[What's This?]

Today, you are likely to spend a great deal of time at a crowded estate auction hoping to buy either a coffee cup commemorating last Friday (you know why) or a wall poster commemorating the first day of spring. Be on the lookout for small children selling products door-to-door.
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This isn't me! What am I?

The penny is the only coin minted by the U.S. government in which the "face" on the head looks to the right. All others face left.
"It is not the straining for great things that is most effective; it is the doing of the little things, the common duties, a little better and better."

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