Identify which of the following measures taken by RBI will increase the money supply.

A. Increase in Cash Reserve Ratio

B. Decrease in Cash Reserve Ratio

C. Selling of a government bond

D. Buying of a government bond

E. Decrease in Bank Rate

Choose the correct answer from the options given below:

Suppose a bank has an initial deposit of ₹200. The required cash reserve ratio is 20%. Then what will be the total money supply in an economy?

Which initiatives strengthened the government's resolution to go cashless.

(A) Jan Dhan accounts.

(B) Aadhar enabled payment systems.

(C) E-Wallets.

(D) National financial Switch.

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Which among the following limits the money multiplier process?

If the M1 in the economy is Rs 375 crores, net time deposits of commercial banks is Rs 250 crores and total deposits with post office savings organizations is Rs50 crores, then what will be M4?

Which of the following is incorrect about the relaxations given by the government to reduce cash crunch immediately after demonetization?

What are the broad components of money supply measure M3?

A. Currency in circulation

B. Net fixed deposits with the banking system

C. Post office savings deposit

D. Demand Deposits

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