Which of the following are included in the definition of Narrow Money? 1. Currency with the public 2. Demand deposits 3. 'Other' deposits with Reserve Bank of India 4. Banker's deposits with Reserve Bank of India Select the correct answer using the code g

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Q: 51 (CDS-II/2023)
Which of the following are included in the definition of Narrow Money?
1. Currency with the public
2. Demand deposits
3. 'Other' deposits with Reserve Bank of India
4. Banker's deposits with Reserve Bank of India
Select the correct answer using the code given below :
(a) 1, 2 and 4
(b) 1 and 2 only
(c) 1, 2 and 3
(d) 3 and 4 only

question_subject: 

Economics

question_exam: 

CDS-II

Narrow Money (M1) in India includes currency with the public, demand deposits, and 'other' deposits with the Reserve Bank of India. These components are the most liquid forms of money, readily available for transactions. Banker's deposits with the Reserve Bank of India are not part of Narrow Money. Therefore, the correct answer is option 3: 1, 2, and 3.