Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: National Income Accounting

Question:

Identify the example of stock from the following:-

Options:

Number of cars produced during 2023

Consumption

Money supply

Profit for the year ending on 31st March 2022

Correct Answer:

Money supply

Explanation:

The example of stock from the options given is: Money supply

Explanation:

  • Stocks refer to quantities measured at a specific point in time.
  • Money supply is a stock variable as it represents the total amount of money in an economy at a specific moment. It is not a flow variable like the number of cars produced during 2023 or profit for the year, which are measured over a period. Consumption is also typically a flow variable, reflecting the amount consumed over a certain period.