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Economics · 2026 · 3 marks
CBSE 2026 · Region 4 · Set 1 · Q12
(a) Define Money Supply. (b) Explain any one component of money supply.
(a)
Define Money Supply.
(b)
Explain any one component of money supply.
Marking-scheme solution
(a) Money supply refers to the total volume of money held by the public at a particular point of time.(b) Net Demand Deposits (DD) held by commercial banks is one of the components of money supply. These are chequable deposits that can be withdrawn by the account-holder on demand.
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CBSE Class 12 Economics past-paper question from the 2026 board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.