Economy, asked by solutions3456, 1 year ago

Write short notes onVHigh-powered money.

Answers

Answered by khushi769
0
Hey user !



The total liability of RBI is called high powered money or reserve money ormonetary base. ... High powered money is basic money; real moneysupply is much more because deposits with commercial banks have a multiplying effect as an outcome of credit creation process.
Answered by PoojaBurra
0

High power money is basically the money or currency that is issued by the Reserve Bank of India and the Government. High power money is also called powerful money. This money is divided into two parts. One part is in circulation with the country’s population and the other is kept as funds in Reserve Bank.

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