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Broad Money

Broad Money. Narrow Money Narrow money is a way of measuring and categorizing the money supply within an economy. The European Central Bank, the OECD and the Bank of England all have their own different definitions of broad money.

Broad Money, as % of GDP | Download Scientific Diagram
Broad Money, as % of GDP | Download Scientific Diagram (Susie Torres)
Money multiplier shows the mechanism by which reserve money creates money supply in the economy. The term also includes bank money and any cash held in easily accessible accounts. Due to. , but also any other liquid assets that can be used to buy goods and services.

These are considered 'near money' because it can easily be changed to cash.

Due to. , but also any other liquid assets that can be used to buy goods and services.

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It generally includes demand deposits at commercial banks, and any monies held in easily accessible accounts. Broad Money To Reserve Money: It is a measure of money multiplier. The model integrates deposit Broad money is the definition of the Money Supply which includes a wide scope for the definition of money - including both notes and coins, but also more illiquid forms of money - such as bank deposits, treasury bills, gilts.

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