Money Supply

- The total stock of money in circulation among the public at a particular point of time is called money supply.

- It needs to be noted that total stock of money is different from total supply of money.

- Supply of money is only that part of total stock of money which is held by the public at a particular point of time.

- The circulating money involves the currency, printed notes, money in the deposit accounts and in the form of other liquid assets.