GyanGramQuestion
With reference to Indian economy, consider the following :
1. Bank rate
2. Open market operations
3. Public debt
4. Public revenue
Which of the above is/are component/components of Monetary Policy?
PRELIMS 2015 · INDIAN ECONOMY
With reference to Indian economy, consider the following : 1. Bank rate 2. Open market op…
Attempt this previous-year question. The correct option stays hidden until you choose.
Pick an option to check yourself.
• Correct Answer: C
• Bank rate and Open Market Operations (OMO) are quantitative monetary policy tools used by RBI to regulate money supply and liquidity.
• Public debt and public revenue are fiscal policy instruments managed by the government, not RBI.
• A, B, D wrongly include fiscal components in monetary policy.
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