M3

M3 is a measure of the money supply that includes M2 (which consists of currency, demand deposits, and certain types of savings deposits) along with additional components. These additional components include large time deposits, institutional money market funds, short-term repurchase agreements, and other highly liquid funds. M3 provides a broader and more comprehensive view of the money supply within an economy, incorporating a wider range of financial instruments and assets. It is used by central banks and economists to assess the overall liquidity and financial conditions of an economy. M3 is considered an important indicator for understanding monetary policy and economic stability.