Which circuit can I use to produce a clock signal. I have suggested an astable multivibrator, but i am not sure if it does the job best

 

You have to provide more information than this: frequency, voltage, current, load.
Can you tell us your application in more detail?

 

32.768 kHz crystals usually work well
32.768 MHz is also an option if you need increased accuracy
sometimes a 555 works fine
depends on the application

 

higher frequency crystals give you better resolution (more pulses per second) but that has no effect on accuracy.

it is the tolerance and frequency stability that tell accuracy. both parameters are normalized and expressed in PPM (parts per million) so frequency makes no difference.

for example you can have 20ppm crystal running at 100kHz and another that is 100ppm and running at 10MHz. both can be used to create base for clock but the first one would be more precise (that clock would need fewer adjustments over time).