Civil Services Examination · प्रश्न 50

If you withdraw ₹1,00,000 in cash from your Demand Deposit Account at your bank, the immediate effect on aggregate money supply in the economy will be

to reduce it by ₹1,00,000
to increase it by ₹1,00,000
to increase it by more than ₹1,00,000
to leave it unchanged

उत्तर देखें और व्याख्या

उत्तर: (D) to leave it unchanged

व्याख्या

M1/M3 include both currency with the public and demand deposits; withdrawal merely converts one component into another, leaving money supply unchanged.