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Question No. 211Interactive Test Mode
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Q211. The sum of which of the following constitutes Broad Money in India? 1. Currency with the public 2. Demand deposits with banks 3. Time deposits with banks 4. Other deposits with RBI Choose the correct answer using the codes given below:

The sum of which of the following constitutes Broad Money in India?

  1. Currency with the public
  2. Demand deposits with banks
  3. Time deposits with banks
  4. Other deposits with RBI

Choose the correct answer using the codes given below:

Select the correct option below (or cross out options to eliminate)

Official Answer Key & Detailed Solution

Ready to check the official UPSC Answer Key?

Click any option above to test yourself under exam conditions, or reveal the explanation directly.

Official UPSC Answer KeyUPSC Prelims 1997 • Indian Economy

Correct Answer: Option (B) — 1, 2 and 3

Concept & Option Breakdown

Standard Reference Verified

Broad Money ($M_3$) in India comprises:

  • Currency with the public
  • Demand deposits with the banking system
  • Time deposits with the banking system

'Other deposits with RBI' is traditionally treated as a component of High-Powered/Reserve Money ($M_0$), and under standard UPSC classifications, $M_3$ is identified with items 1, 2, and 3.

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Question Specifications & Syllabus Mapping

Examination & YearUPSC Civil Services Preliminary Examination 1997 (Q211)
Paper & Marking SchemeGS Paper I • 2 Marks (-0.66 Negative for incorrect response)
Syllabus Subject & TopicIndian Economy → Banking & Financial System
Official Answer KeyOption (B) — 1, 2 and 3

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Frequently Asked Questions — UPSC Prelims 1997 Q211

What is the official answer for UPSC Prelims 1997 GS Paper I Question 211 (Indian Economy)?

The official UPSC answer key for this 1997 Indian Economy (Banking & Financial System) question is Option (B): "1, 2 and 3". Correct attempts carry 2 Marks with -0.66 Negative penalty for wrong answers.

Which UPSC Prelims syllabus topic does this 1997 question belong to?

This question belongs to GS Paper I under the subject "Indian Economy" and micro-topic "Banking & Financial System". You can explore all repeated questions from Banking & Financial System in Acme AI's 3D Prelims PYQ Realm or practice 50 full-length and sectional tests in the APT Prelims Test Series.

How can I solve this Banking & Financial System UPSC Prelims question using option elimination?

To solve Banking & Financial System questions in UPSC Prelims, identify extreme modifiers, verify core NCERT conceptual definitions, and eliminate mutually contradictory statement pairs before locking your final option.

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