Related InterviewSolutions

• Name the monetary measure indicated in the following statements. Also indicate, wheter the following measures will be adopted during excess demand or defcient demand. (i) RBI starts seeling Govemment secur ities to the public. (ii) Instead of 80% now 90% of the security amount will be given as loan. (iii) It resulted in increase in interest rate charged by commercial bank from the borrowers. (iv) RBI advised SBI to stop advertising for home loans in order to discourage lending. (v) Central bank reduces the amount of time and demand deposits required to be kept as reserves. (vi) RBI instructed not to advance loans to people with income above rs 5 lakhs per annum.
• During excess demand, central bank __ the margin.A. DecreasesB. increasesC. RemovesD. Does not change
• Which of the following is not the reason for excess demand?A. Fall in the propensity to consumeB. Reduction in taxesC. Increase in investmentsD. Deficit Financing
• ______ is exercised through discussions, letters and speeches to banksA. Moral suasionB. Selective Credit ControlsC. Margin RequirementsD. Open Market Operations
• Change in Government Spending is a part of :A. Monestary PolicyB. Fiscal PolicyC. Either (a) or (b)D. Neither (a) nor (b)
• Define deflationary gap. Or Give the meaning of deflationary gap.
• Defficient Demand indicates:A. Under employment equilibriumB. Over Full employment equilibriumC. Full employment equilibriumD. None of these
• Aggregate demand can be increased by: (choose the correct atternative)A. increasing bank rateB. selling government securities by Reserve Bank of IndiaC. Increasing cash reserve ratioD. none of the above
• If an economy is to control recession like most of the Euro-Zone nations, which of the following can be appropriate:A. Reducing Repo RateB. Reducing CRRC. Both a and bD. None of a and b
• Monday Policy is the policy of ___ to control money and credit creation in the economy.A. Central GovermmentB. Central BankC. Both a and bD. None of these