Question 12 of 33Indian Economy

Which one of the following best describes the term ‘Broad Money (M3)’ in India?

ACurrency with the public only
BCurrency with the public plus demand deposits with banks
CCurrency with the public plus demand deposits plus time deposits with banks
DOnly time deposits with commercial banks

Correct Answer

The correct answer is hidden

Explanation

20 words hidden ... banking system, and time deposits with the banking system. It therefore captures a broader measure of liquidity than ... 19 words hidden