Discuss Forum
1. Broad Money includes____
- A. currency and coins
- B. currency and coins
- C. currency and coins
- D. currency and coins
Answer: Option B
Explanation:
Broad money is the definition of the Money Supply which includes a wide scope for the definition of money – including both notes and coins, but also more illiquid forms of money – such as bank deposits, treasury bills, gilts.
These are considered 'near money' because it can easily be changed to cash.
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