CBSE 2021 Class 12 Economics Term 1 Paper
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Question : 43 of 60
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Number of times the commercial banks are able to create total deposits with the help of reserves ratio and initial deposits is known as ______
(Fill up the blank with correct alternative):
(Fill up the blank with correct alternative):
Solution:
(b) Money multiplier
Explanation: Money multiplier measures the amount of money that the banks are able to create in the form of total deposits with every initial deposit.
Explanation: Money multiplier measures the amount of money that the banks are able to create in the form of total deposits with every initial deposit.
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