Money Supply
Economics ⇒ Money and Banking
Money Supply starts at 11 and continues till grade 12.
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See sample questions for grade 11
Define money supply.
Describe the impact of a decrease in the statutory liquidity ratio (SLR) on money supply.
Describe the relationship between high powered money and money supply.
Describe the role of the Reserve Bank of India (RBI) in regulating money supply.
Explain how an increase in the cash reserve ratio (CRR) affects the money supply.
Explain how open market operations influence the money supply.
Explain the difference between currency and money supply.
Explain the difference between M1 and M2 measures of money supply.
Which measure of money supply is also called aggregate monetary resources? (1) M1 (2) M2 (3) M3 (4) M4
Which of the following factors does NOT affect the money supply in an economy? (1) Cash reserve ratio (2) Statutory liquidity ratio (3) Weather conditions (4) Open market operations
Which of the following is included in high powered money? (1) Currency with the public (2) Reserves of commercial banks with RBI (3) Both (1) and (2) (4) None of the above
Which of the following is NOT a component of M1? (1) Currency with the public (2) Demand deposits with banks (3) Time deposits with banks (4) Other deposits with RBI
Fill in the blank: M3 = M1 + _______.
Fill in the blank: The _______ is the authority responsible for issuing currency in India.
Fill in the blank: The _______ is the central bank of India.
Fill in the blank: The _______ is the most liquid form of money supply.
State whether the following statement is true or false: M2 includes post office savings deposits.
State whether the following statement is true or false: Money supply is a flow concept.
State whether the following statement is true or false: Money supply is a stock concept.
State whether the following statement is true or false: Time deposits are included in M1.
