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

1. A.to increase it by more than ₹ 1,00,000
2. B.to increase it by ₹ 1,00,000
3. C.to leave it unchanged✓ Correct
4. D.to reduce it by ₹ 1,00,000

More Banking questions

• → Consider the following statements: 1. In terms of short-term credit delivery to the agriculture sector, Distri…
• → If the RBI decides to adopt an expansionist monetary policy, which of the following would it not do? 1. Cut an…
• → If you withdraw ₹1,00,000 in cash from your Demand Deposit Account at your bank, the immediate effect on aggre…