CUET Economics 2025 13 May Shift 2 PYQs

Mr. Kishore, an economics teacher, was explaining the concept of 'minimum percentage of total deposits to be kept by any commercial bank with the Central bank of the country, as per norms and statute prevailing in the country'.

From the following, choose the correct alternative which specifies towards the concept explained by him:

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.

(C) RBI sell bond if there is excess money supply.

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

Choose the correct answer from the options given below:

At a given cash reserve ratio of 50% with deposits of ₹ 1000, the amount which can be used to give loans by the bank.