CUET Economics - Which of the following is correct statement? | PYQs + Solutions

CUET Economics

Macro

Medium

RBI act as banker to commercial banks & Central Bank

Central Bank creates credit in economy

All financial institutions are banking institutions

One rupee note and all coins are issued by the Ministry of Finance

✅ Correct Option: 4

Related questions:

31 May Shift 1

Why does central bank is called the lender of last resort?

It lends money to the government to finance its budget deficit.
Central bank lends money to trade and industry to support their export operations.
When a country runs out of money, the central bank prints more money.
Central bank lends money to banks at all times.

CUET Economics 2023 Slot 1

RBI can influence money supply by changing the Bank rate. An increase in Bank rate can be termed as :

29 May Shift 2

Arrange the following statements in chronological order with respect to open market operation.

(A) Bonds payments increases total reserves in the economy.

(B) RBI buys government bonds from the market.

(D) Higher reserves Increase money supply in the economy.

Choose the correct answer from the options given below:

CUET Economics PYQs