Advertisements
Advertisements
Question
Which of the following is not a limitation of credit creation?
Options
Cash Reserve Ratio
Fiscal policy
Business conditions
Banking habit
MCQ
Advertisements
Solution
Fiscal policy
Explanation:
- Fiscal policy relates to government taxation and spending, not directly to the banking system's ability to create credit.
- Credit creation is mainly limited by factors like cash reserve ratio, banking habits, and business conditions, not fiscal policy.
shaalaa.com
Is there an error in this question or solution?
