ECN04 — Money, Banking and Inflation

🔍 Free Preview — first 3 questions

Question 1

The Repo Rate is the rate at which: (NDA PYQ)

AThe RBI borrows from commercial banks

BThe RBI lends to commercial banks

CCommercial banks lend to the public

DThe government borrows from the RBI

Question 2

Cost-push inflation is caused by: (NDA PYQ)

AExcess aggregate demand in the economy

BRising production costs pushing up prices

CRapid increase in the money supply

DGovernment reduction in direct taxes

Question 3

If the RBI increases the CRR, the immediate effect is: (NDA PYQ)

ABanks have more funds available for lending

BBanks retain more funds with RBI; money supply falls

CInterest rates on savings accounts fall

DGovernment borrowing capacity increases

🔒

Unlock the Full Quiz

Get all 20 questions with answers, instant scoring and detailed explanations — plus all chapters, PDFs, mock tests and vocabulary.

ECN04 — Money, Banking and Inflation — Quiz