Question

What is the meaning of supply of money? Explain the concepts of supply of money given by Reserve Bank of India.

Answer 1

Answer:

"Meaning of supply of money

Stock of money which the government held is considered as the supply of money held by the government and it includes money in deposits accounts, currency notes and other money in the form of liquid assets.

In India Reserve Bank of India is the central bank of India and control all the money related functions. RBI follows M0, M1, M2, M3 and M4 aggregates.

"

Explanation: