Kindly explain the following terms related to M2,M3 and M4 money supply???
1. Savings Deposits with Post office savings Bank
2. Net time deposits with commercial banks
3. Total Deposits with Post Office Savings Bank
4. National Saving Certificate (NSC)
Dear student,
1) Similar to commercial banks the post offices also offer banking services. The saving deposits with post offices refers to the deposits in the saving accounts of the post offices.
2) Net time deposits with commercial banks refers to those deposits with the commercial bank for a fixed period of time. They can be withdrawn only after the maturity of the fixed period. Time deposits with post office are similar deposits with the post office saving accounts.
3) Total deposits with the post office saving banks refers to total of savings account deposits and term deposits.
4) National saving certificates are the saving bonds certified by the Government of India. They are used for small savings
1) Similar to commercial banks the post offices also offer banking services. The saving deposits with post offices refers to the deposits in the saving accounts of the post offices.
2) Net time deposits with commercial banks refers to those deposits with the commercial bank for a fixed period of time. They can be withdrawn only after the maturity of the fixed period. Time deposits with post office are similar deposits with the post office saving accounts.
3) Total deposits with the post office saving banks refers to total of savings account deposits and term deposits.
4) National saving certificates are the saving bonds certified by the Government of India. They are used for small savings