Advertisements
Advertisements
प्रश्न
Who controls the credit supply in an economy?
Advertisements
उत्तर
A country's central bank controls the credit supply in its economy. The central bank regulates credit availability using a variety of monetary policy tools, including the bank rate, open market operations, reserve requirements (such as the Cash Reserve Ratio and Statutory Liquidity Ratio), and qualitative methods (such as credit rationing), that affect the money supply, interest rates, and overall economic activity.
APPEARS IN
संबंधित प्रश्न
The rate of which commercial banks borrow from the Central Bank is the:
During deflation, the Central Bank usually ______.
The central bank controls credit _____ .
What is meant by open market operations?
Define the term Statutory Liquidity Ratio.
Briefly explain the following credit control method adopted by the Central Bank.
Publicity
What is the credit supply policy in an economy called?
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.
Which are qualitative methods of credit control?
What is meant by Legal Reserve Ratio?
