SaralUPSC
  • Home
  • Blogs
  • Prelims Questions
  • Mains Questions
  • Tests
Start Free Test
SaralUPSC

Saral Preparation Pvt. Ltd.

Delhi, India

support@saralupsc.com

Toll Free: 1800 000 0000

Office Hours: 10 AM – 7 PM (All 7 days)

Company

  • About Us
  • Careers
  • Contact Us
  • Media
  • Sitemap

Products

  • Test Series
  • Live Quizzes
  • Notes
  • Videos
  • Blog

Useful Links

  • Prelims Questions
  • Mains Questions
  • Free Tests
  • Sign Up
  • Login

Follow us

© 2026 Saral Preparation Pvt. Ltd.. All rights reserved.

  • Privacy
  • Terms
  • User Policy
  1. Home
  2. /Prelims Questions
  3. /Economy
  4. /Question
Economy·Easy

If you withdraw Rs 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

If you withdraw Rs 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

Options

  1. a.

    to reduce it by Rs 1,00,000

  2. b.

    to increase it by Rs 1,00,000

  3. c.

    to increase it by more than Rs 1,00,000

  4. d.

    to leave it unchanged

    Correct answer

Share

  • Share on X
  • Share on WhatsApp
  • Share on LinkedIn

Related prelims questions

  • "Gold Tranche" (Reserve Tranche) refers to

    Economy · Easy

  • Consider the following statements: 1. The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI). 2. The WPI does not capture changes in the prices of services, which CPI does. 3. Reserve Bank of India has now adopted WPI as its key measure of inflation and to decide on changing the key policy rates. Which of the statements given above is/are correct?

    Economy · Easy

  • If the RBI decides to adopt an expansionist monetary policy, which of the following would it not do? 1. Cut and optimize the Statutory Liquidity Ratio 2. Increase the Marginal Standing Facility Rate 3. Cut the Bank Rate and Repo Rate Select the correct answer using the code given below:

    Economy · Easy

  • Consider the following statements: 1. Petroleum and Natural Gas Regulatory Board (PNGRB) is the first regulatory body set up by the Government of India. 2. One of the tasks of PNGRB is to ensure competitive markets for gas. 3. Appeals against the decisions of PNGRB go before the Appellate Tribunals for Electricity. Which of the statements given above are correct?

    Economy · Easy