CUET Economics 2025 2 June Shift 1 PYQs

If the central bank wants to reduce the money supply in the economy, what it may do from the following?

(A) Increase bank rate.

(B) Reduce cash reserve ratio.

(C) Increase in Repo Rate.

(D) Buy securities in the open market.

Choose the correct answer from the options given below:

Match List-I with List-II

List-I	List-II
(A) Secondary Deposits	(i) Initial deposits with commercial banks
(B) Primary Deposits	(ii) The ratio of money held by the public in currency to that held at deposits in commercial banks.
(C) Currency Deposit ratio	(iii) No intrinsic value
(D) Fiat money	(iv) Demand deposits which come back to Commercial bank through lending process.

Choose the correct answer from the options given below:

Match List-I with List-II

List-I	List-II
(A) Percentage of deposits that a bank keep as reserve with Central Bank	(I) Reserves + Loan.
(B) Banks Assets	(II) Central Bank of a country.
(C) Lender of the last Resort	(III) Aggregate Monetary Resources.
(D) M₃	(IV) Cash Reserve Ratio.

Choose the correct answer from the options given below:

1. (A) - (I), (B) - (II), (C) - (III), (D) - (IV)
2. (A) - (IV), (B) - (I), (C) - (II), (D) - (III)
3. (A) - (I), (B) - (II), (C) - (IV), (D) - (III)
4. (A) - (III), (B) - (IV), (C) - (I), (D) - (II)