Money supply includes ........

Introductory Macro Economics Money and banking

Add to Study Deck Download Solution PDF

Money supply includes_______________.

All deposits in banks.

Only demand deposits in banks.

Only time deposits in banks.

Currency with the banks.

Explanation:

Option (1) is correct.
Explanation: Money Supply is the total stock of money circulating in the economy at a particular point of time including currency and other liquid instruments.
It includes all types of deposits in bank including demand deposits time deposit.

Report error

Submit Error