__________________ is the most commonly used measure of money supply.
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. M3.
- The most commonly used measure of money supply is M3.
- It includes currency with the public, demand deposits with banks, and time deposits with banks.
- M3, commonly known as "broad money," serves as a crucial measure of the money supply in an economy, indicating the overall level of liquidity.