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Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B?
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Demand deposits with the commercial bank are the part of a) money supp...
Introduction: The commercial banks play a crucial role in the economy by accepting deposits and lending money. Among the various types of deposits, demand deposits are the ones that are most widely used.
Demand Deposits: Demand deposits are the deposits that can be withdrawn at any time without any prior notice. These deposits are also known as current account deposits. The demand deposits with the commercial bank are considered as a part of the money supply.
Money Supply: Money supply refers to the total amount of money that is circulating in the economy. It includes the currency in circulation, demand deposits with the commercial banks, and other forms of money.
Role of Demand Deposits in Money Supply: Demand deposits with the commercial banks play a crucial role in the money supply of the economy. When a person deposits money in a bank, the bank can use that money to lend to other customers. This process creates new money in the economy. Hence, demand deposits are also known as high powered money.
Conclusion: In conclusion, demand deposits with the commercial banks are a part of the money supply of the economy. These deposits play a crucial role in creating new money in the economy. Hence, demand deposits with the commercial banks are considered as high powered money.
Demand Deposits: Demand deposits are the deposits that can be withdrawn at any time without any prior notice. These deposits are also known as current account deposits. The demand deposits with the commercial bank are considered as a part of the money supply.
Money Supply: Money supply refers to the total amount of money that is circulating in the economy. It includes the currency in circulation, demand deposits with the commercial banks, and other forms of money.
Role of Demand Deposits in Money Supply: Demand deposits with the commercial banks play a crucial role in the money supply of the economy. When a person deposits money in a bank, the bank can use that money to lend to other customers. This process creates new money in the economy. Hence, demand deposits are also known as high powered money.
Conclusion: In conclusion, demand deposits with the commercial banks are a part of the money supply of the economy. These deposits play a crucial role in creating new money in the economy. Hence, demand deposits with the commercial banks are considered as high powered money.
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Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B?
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Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B?.
Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B? for Commerce 2025 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B? covers all topics & solutions for Commerce 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Demand deposits with the commercial bank are the part of a) money supply b)high powered money c)both A and b d) neitherA or B?.
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