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Question
Which set contains the instruments through which the RBI controls money supply?
Options
Bank Rate, Open Market Operations (OMO), and Reserve Ratios
Cheques, debit cards, and receipts
Cash, bank deposits, and gold
Profit, Liquidity, and Spread
MCQ
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Solution
The RBI controls money supply through Bank Rate, Open Market Operations (OMO), and Reserve Ratios. These are listed as central-bank instruments for money supply control.
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