February 14, 1970 right hand side denotes the price index number. But the trends in both will be the same. So that it looks as though Cn,y is closely related to Qy and could be used as a measure of the volume of output transacted through the use of cheque clearances. From the simila rity of behaviour of the data pertaining to bank debits with those of cheque clearances it may be argued that a similar inference could be made in regard to the number of debits as well. Doubtless, the results given in this paper need to be examined further and also compared with experience in other countries before one can properly understand their implications. My object in presenting them is primarily to provoke those interested in monetary phenomena to undertake such investigations.
