1
Q
M1
A
currency notes and coins with the people + demand deposit with the banking system (current and saving account deposit )+ other deposit with the RBI
1) currency with people
2) demand deposit with bank
( current and savings account deposit )
3)other deposit with RBI
2
Q
M2
A
M1 + SAVING DEPOSIT WITH POST OFFICE SAVING BANKS
3
Q
M3
A
M1 + TIME DEPOSIT WITH THE BANK
(RAFA)
4
Q
M4
A
M3 + TOTAL DEPOSIT WITH THE POST OFFICE SAVINGS ORGANIZATION
5
Q
PRIMARY DEIFICT =
A
FISCAL DEFICIT - INTEREST PAYMENTS
5
Q
FISCAL DEFICIT =
A
(REVENUE DEFICIT) + (capital exp -cap revenue) except borrowings
6
Q
A
