CUET Economics - The Reserve Bank of India (RBI) __________ government securities in a bid to ________ the stock of money in the economy. | PYQs + Solutions

CUET Economics 2025 2 June Shift 1

Macro

Medium

sells; decrease

purchases; decrease

sells; increase

purchases; not change

✅ Correct Option: 1

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When the interest rate is very high, newspapers and media channels are predicting that it may fall in future and hence anticipate capital gains from bond-holdings. Hence, people convert their money into bonds.

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CUET Economics 2025 2 June Shift 1 PYQs

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