The United States of America or the USA is one of the superpowers of the world with strong financial background. The USA has a highly developed mixed economy and it is the world’s largest economy by nominal GDP, net worth, and second-largest economy by purchasing power parity. In 2021, the USA has the world’s fifth-highest per capita GDP (nominal) and the seventh-highest per capita GDP (PPP). So how much money does the USA have?
It is very hard to tell the actual amount of money the USA has. According to a recent survey from March 2021, the total amount of physical currency in the USA is $2.1 trillion. According to the Federal Reserve, as of March 2021, there was $5.8 trillion in the M0 supply stream. All the bills, coins, and liquid currencies are known as the M0 money supply or monetary base.
How Much Money Does The USA Have?
Well, the above question looks very simple but the answer is a bit more complicated. The word “Money” has a different definition than what we know. For example, if anyone asks how much money you have right now, what you will do? You will open your wallet and count the money you have in your wallet and then you will answer the question. Suppose, if you have $183 on your wallet then you will say you have $183. But do you really have only $183? Don’t you have a bank account or a certificate of deposit or other money market accounts? Shouldn’t that count too? So when you are talking about a country and its total money there are quite a few definitions including MB, M1, M2, MZM, etc.
MB: MB stands for Monetary Base. MB includes currency and Federal Reserve deposits. As of January 2021, the MB of the USA was $5.391 trillion.
M1: It includes all the funds that can be accessed at any time. These are readily accessible and don’t hold by the Federal government, traveler’s checks, and money in checking accounts. As of March 2021, the USA has $7.412 trillion M1.
M2: It includes all the financial assets held by the households that include M1 plus savings deposits, small-denomination time deposits, and balances in retail mutual funds. According to a recent statistic, the USA has $19.120 trillion M2.
MZM: MZM stands for Money Zero Maturity. MZM includes M2 less small-denomination time deposits and the money market funds. MZM best predicts inflation. As of May 2021, the MZM of the USA was $22.294 trillion.
So the total money of the USA is MB+M1+M2+MZM.
| MB | $5.391 trillion |
| M1 | $7.412 trillion |
| M2 | $19.120 trillion |
| MZM | $22.294 trillion |
| Total | 54.217 trillion |
Key Financial Information Of USA
1. Small Business Assets: $21.069 trillion)
2. Corporate Assets: $33.120 trillion)
3. Household Assets: $132.213 trillion
4. Total National Assets: $157.895 trillion
5. US national debt: $27.404 trillion
6. State government debt: $1.193 trillion
7. Local government debt: $2.131 trillion
8. Total personal debt: $20.909 trillion
9. Total US debt: $86.031 trillion
List Of Richest Countries In The World
| Country | GDP per capita (USD) |
| Luxembourg | $109,602.32 |
| Switzerland | $81,867.46 |
| Ireland | $79,668.50 |
| Norway | $67,988.59 |
| United States | $63,051.40 |
| Singapore | $58,483.96 |
| Denmark | $58,438.85 |
| Iceland | $57,189.03 |
| Qatar | $52,751.11 |
| Australia | $51,885.47 |
| Netherlands | $51,289.57 |
| Sweden | $50,339.20 |
| Austria | $48,634.34 |
| Finland | $48,461.48 |
| Germany | $45,466.12 |
| Hong Kong | $45,175.73 |
| Belgium | $43,813.80 |
| Canada | $42,080.10 |
| San Marino | $41,682.81 |
| Israel | $41,559.51 |
| France | $39,257.43 |
| United Kingdom | $39,228.52 |
| Japan | $39,047.90 |
| Macao SAR | $38,769.20 |
| New Zealand | $38,675.32 |
FAQs About Money In The USA
1. What Is M1 Consists Of?
In the USA, M1 consists of the total money stored in –
1. Cash (banknotes and coins)
2. Checking accounts
3. Other checkable deposits
4. Traveler’s checks
2. How Much Physical Currency Exists In The US?
A recent statistic showed there are about $1.5 trillion physical currency is in circulation. Among the total currency, 80% of this value comes from the $100 notes and the amount is about $11.5 billion. Every year, new bills replace about 70% of the old notes.
3. How Much Money Is In The US Treasury?
There is more than $6 trillion money is in the US treasury as of February 2021. The US Treasury collects this money from a variety of sources, including individual income taxes, payroll taxes, corporate income taxes, and many more.
4. What Is M2 In The US Economy?
In the US economy, M2 includes all the money from the M1 as well as other money held in short-term investments. So M2 consists of –
1. Everything from M1
2. Savings accounts
3. CDs less than $100,000
4. Money market funds
5. What Is The World’s Strongest Currency?
The Kuwaiti dinar is the strongest currency in the world. This currency was first introduced in 1960 and initially, it was equivalent to one pound sterling. Currently, if you exchange 1 US dollar then you will just receive 0.30 Kuwait dinars.
6. What Is The World’s Weakest Currency?
The Venezuelan Sovereign Bolívar is the world’s weakest currency. If you exchange 1 US Dollar then you will receive 1,552,540 Venezuelan Sovereign Bolívar.
7. Is The US Dollar Losing Value?
The US dollar has global demand but the Covid pandemic has weakened the economy of the USA as well as the value of the US dollar. Since March 2020 the US dollar loses about 10% to 12% of its actual value.
8. What Currency Might Replace The US Dollar?
The US dollar is the current global currency of the world. But China is trying to replace the U.S. dollar with the Yuan as the global currency of the world. It will give China more control over its economy. The economy of China is growing very rapidly so there are possibilities that in the future the Yuan might replace the US dollar.
9. How Much Money Is There In The World?
According to some recent reports of 2021, there is about $1.6 trillion in money circulating across the world. The $1.6 trillion is only liquid money. If you include all the savings accounts, bank deposits, and other cash sources then the total amount of money the world has is about $39 trillion.
10. How Much Money Is In The World In USA Currency?
In USA currency, the total amount of money in the world is about $39 trillion and it includes liquid money, savings accounts, bank deposit, checking accounts, etc.
References:
1. https://datalab.usaspending.gov/americas-finance-guide/
2. https://www.usa.gov/currency
Last Updated on February 3, 2022 by
Magalie D. is a Diploma holder in Public Administration & Management from McGill University of Canada. She shares management tips here in MGTBlog when she has nothing to do and gets some free time after working in a multinational company at Toronto.
