Broad money M3, is most commonly used measure of money supply. Which of the following is/are part of broad money?1. Currency held by the public.2. Demand deposits of the public held by commercial banks.3. Interbank demand deposits held by commercial banks.4. Time deposits of the public held by commercial banks.Select the correct code from below.a)1 and 4 only.b)1, 2 and 4 only.c)1, 2 and 3 only.d)Allthe above.Correct answer is option 'B'. Can you explain this answer?

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Select the correct code from below.

a)
1 and 4 only.
b)
1, 2 and 4 only.
c)
1, 2 and 3 only.
d)
Allthe above.

Correct answer is option 'B'. Can you explain this answer?

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Broad money M3, is most commonly used measure of money supply. Which o...

Broad money M3= M1 + Time deposits of the public held by commercial banks.

M1 = CU + DD

Where CU is the Currency held by the public and DD is net Demand deposits held bycommercial banks. The word ‘net’ implies that only deposits of the public held by the banks areto be included in money supply. The interbank deposits, which a commercial holds in othercommercial banks, are not regarded as money supply.

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Broad money M3, is most commonly used measure of money supply. Which of the following is/are part of broad money?1. Currency held by the public.2. Demand deposits of the public held by commercial banks.3. Interbank demand deposits held by commercial banks.4. Time deposits of the public held by commercial banks.Select the correct code from below.a)1 and 4 only.b)1, 2 and 4 only.c)1, 2 and 3 only.d)Allthe above.Correct answer is option 'B'. Can you explain this answer?

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Broad money M3, is most commonly used measure of money supply. Which of the following is/are part of broad money?1. Currency held by the public.2. Demand deposits of the public held by commercial banks.3. Interbank demand deposits held by commercial banks.4. Time deposits of the public held by commercial banks.Select the correct code from below.a)1 and 4 only.b)1, 2 and 4 only.c)1, 2 and 3 only.d)Allthe above.Correct answer is option 'B'. Can you explain this answer? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Broad money M3, is most commonly used measure of money supply. Which of the following is/are part of broad money?1. Currency held by the public.2. Demand deposits of the public held by commercial banks.3. Interbank demand deposits held by commercial banks.4. Time deposits of the public held by commercial banks.Select the correct code from below.a)1 and 4 only.b)1, 2 and 4 only.c)1, 2 and 3 only.d)Allthe above.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Broad money M3, is most commonly used measure of money supply. Which of the following is/are part of broad money?1. Currency held by the public.2. Demand deposits of the public held by commercial banks.3. Interbank demand deposits held by commercial banks.4. Time deposits of the public held by commercial banks.Select the correct code from below.a)1 and 4 only.b)1, 2 and 4 only.c)1, 2 and 3 only.d)Allthe above.Correct answer is option 'B'. Can you explain this answer?.

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