Which of the following is/are included under Narrow Money?
- Time deposit with banks
- Demand deposit with banks
- Money with public in the form of cash
- Post office deposit
Select the correct option from the codes given below:
Time deposit and Post office deposit are not a part of narrow money because they are less liquid in market. They are part of the broad money. Post office saving deposit is long term deposit with maturity period of 6 years. Post office also provides time deposits for 1, 2, 3, 5 years without any tax benefit
This question is a part of GKToday's Integrated IAS General Studies Module