Economy
2020
Monetary Policy
Banking in India
UPSC Practice Question

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

D.to leave it unchanged
C.to increase it by more than ₹ 1,00,000
B.to increase it by ₹ 1,00,000
A.to reduce it by ₹ 1,00,000