मराठी

Loans offered by commercial banks ______ the money supply in the economy. - Economics

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प्रश्न

Loans offered by commercial banks ______ the money supply in the economy.

पर्याय

  • Increase

  • Decrease

MCQ
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उत्तर

Loans offered by commercial banks increase the money supply in the economy.

Explanation:

When commercial banks give loans, they create deposits in the borrower’s account. This increases the total money supply in the economy through credit creation.

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