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प्रश्न
Give any two reasons as to why a country needs a central bank.
Mention two reasons for setting up the central bank (or the Reserve Bank of India).
With reference to the central bank of a country.
State two reasons for the need of a Central Bank in a country.
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उत्तर
Two reasons for setting up the Central Bank are:
- The Central Bank is set up to control the supply of money and credit in the country.
- Every central bank is set up to control the entire banking system of a country.
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संबंधित प्रश्न
The difference between the value of security and the amount of loan sanctioned against these securities is known as:
Define qualitative credit control policy of the RBI.
Explain how credit rationing helps to control credit in an economy.
Which of the following is not a quantitative method of credit control?
The process of buying and selling of securities by the central bank of a country is known as ______.
What is meant by open market operations?
Define the term Statutory Liquidity Ratio.
Differentiate between quantitative and qualitative methods of credit control.
Define the following term:
Cash Reserve Ratio.
Briefly explain the following credit control method adopted by the Central Bank.
Publicity
Central bank is the lender of the last resort. Explain.
Explain the following function of the central bank of a country.
Fixation of margin requirement on secured loans.
What is this policy called that controls the credit supply in an economy?
Identify the following Credit Control measures undertaken by the Central Bank during inflation.
The Central Bank increases the rate at which it lends to the Commercial Bank.
What do you mean by credit control?
Which are qualitative methods of credit control?
What is meant by Legal Reserve Ratio?
Give an example of margin requirements.
