Money supply is governed by the - (1) Planning Commission (2) Finance Commission (3) Reserve Bank of India (4) Commercial Banks

Money supply is governed by the - (1) Planning Commission (2) Finance Commission (3) Reserve Bank of India (4) Commercial Banks
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(3) Reserve Bank of India Explanation: In economics, the money supply or money stock, is the total amount of monetary assets available in an economy at a specific time. It is governed and regulated by the central bank of a country. The Reserve Bank of India regulates money supply in India through its several policy rates and reserve ratios.
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Money supply is governed by the (1) Planning Commission (2) Finance Commission (3) Reserve Bank of India (4) Commercial Banks

Description : Money supply is governed by the (1) Planning Commission (2) Finance Commission (3) Reserve Bank of India (4) Commercial Banks

Last Answer : Reserve Bank of India

Recommendations to the President of India on the specific Union state fiscal relation are made by the- (1) Finance Minister (2) Reserve Bank of India (3) Planning Commission (4) Finance Commission

Description : Recommendations to the President of India on the specific Union state fiscal relation are made by the- (1) Finance Minister (2) Reserve Bank of India (3) Planning Commission (4) Finance Commission

Last Answer : (4) Finance Commission Explanation: The finance commission made recommendations to the president of India on the specific union state fiscal relation.

The “Report on Currency and Finance” for each of the financial year in India is published by : (A) Reserve Bank of India (B) Ministry of Finance (C) Planning Commission (D) Central Statistical Organization

Description : The “Report on Currency and Finance” for each of the financial year in India is published by : (A) Reserve Bank of India (B) Ministry of Finance (C) Planning Commission (D) Central Statistical Organization

Last Answer : Answer: A

Regional Rural Banks arc sponsored by (1) Nationalized Commercial Bank (2) Reserve Bank of India (3) State Bank of India (4) Government of India

Description : Regional Rural Banks arc sponsored by (1) Nationalized Commercial Bank (2) Reserve Bank of India (3) State Bank of India (4) Government of India

Last Answer : (1) Nationalized Commercial Bank Explanation: The Narasimham committee conceptualized the foundation of regional rural banks in India. Five regional rural banks were set up on October 2. 1975. There ... Bank. United Bank of India and United Commercial Bank, which sponsored the regional rural banks.

A commercial bank law creates credit only if it has - (1) Cash in the vault (2) Excess reserves (3) Permission of Reserve Bank of India (4) (4) Cooperation of other banks

Description : A commercial bank law creates credit only if it has - (1) Cash in the vault (2) Excess reserves (3) Permission of Reserve Bank of India (4) (4) Cooperation of other banks

Last Answer : (1) Cash in the vault Explanation: A commercial bank is a profitseeking business, dealing in money and credit. It is a financial institution dealing in money in the sense that it accepts deposits of ... received as the deposits to needy people. So it creates credit from the cash deposits with it.

Regional Rural Banks are sponsored by (1) Nationalised Commercial Bank (2) Reserve Bank of India (3) State Bank of India (4) Government of India

Description : Regional Rural Banks are sponsored by (1) Nationalised Commercial Bank (2) Reserve Bank of India (3) State Bank of India (4) Government of India

Last Answer :  Nationalised Commercial Bank

A commercial bank law creates credit only if it has (1) Cash in the vault (2) Excess reserves (3) Permission of Reserve Bank of India (4) Cooperation of other banks

Description : A commercial bank law creates credit only if it has (1) Cash in the vault (2) Excess reserves (3) Permission of Reserve Bank of India (4) Cooperation of other banks 

Last Answer : Cash in the vault

By increasing the 'Bank Rate', the RBI can: a) provide incentives to commercial banks to lend more to public b) provide incentives to commercial banks to lend less to public c) increase the money supply in the market d) none of the above

Description : By increasing the 'Bank Rate', the RBI can: a) provide incentives to commercial banks to lend more to public b) provide incentives to commercial banks to lend less to public c) increase the money supply in the market d) none of the above

Last Answer : b) provide incentives to commercial banks to lend less to public Bank rate is the rate at which commercial banks can borrow money from the RBI. If the rate is higher, then taking money from RBI becomes difficult, so the banks will lend less to public. And vice-versa.

Reserve Bank of India gave provisional licences to _______ entities to launch small finance banks. A. 10 B. 11 C. 12 D. 13 E. None of the Above

Description : Reserve Bank of India gave provisional licences to _______ entities to launch small finance banks. A. 10 B. 11 C. 12 D. 13 E. None of the Above

Last Answer : A. 10 Explanation: Reserve Bank of India gave provisional licences to 10 entities out of 72 applicants to launch small finance banks. The selected applicants are: Au Financiers (Jaipur), ... Micro Finance (Navi Mumbai), Ujjivan Financial Services (Bengaluru) and Utkarsh Micro Finance (Varanasi).

Why do we allow the Federal Reserve loan money to commercial banks at almost 0% interest, who then loan the tax payers this money at a much higher interest rate?

Description : Why do we allow the Federal Reserve loan money to commercial banks at almost 0% interest, who then loan the tax payers this money at a much higher interest rate?

Last Answer : If you want to learn more about the Federal Reserve system and how it works, start with Wikipedia and then, for fun, consider asking targeted questions of the conspiracy theorists here on Fluther. ... takes something of yours. Interest happens when you choose to pay for the opportunity to borrow.

What is the reserve deposit ration (rdr)? a) the proportion of money RBI lends to commercial banks b) the proportion of total deposits commercial banks keep as reserves c) the total proportion of money that commercial banks lend to the customers d) none of the above

Description : What is the reserve deposit ration (rdr)? a) the proportion of money RBI lends to commercial banks b) the proportion of total deposits commercial banks keep as reserves c) the total proportion of money that commercial banks lend to the customers d) none of the above

Last Answer : b) the proportion of total deposits commercial banks keep as reserves

The salaries and emoluments of the judges of the Supreme Court are charged on (1) The Reserve Bank of India (2) The Contingency Fund of India (3) The Consolidated Fund of India (4) The Finance Commission

Description : The salaries and emoluments of the judges of the Supreme Court are charged on (1) The Reserve Bank of India (2) The Contingency Fund of India (3) The Consolidated Fund of India (4) The Finance Commission

Last Answer : (3) The Consolidated Fund of India Explanation: Article 101 deals with remuneration of Judges of the Supreme Court. It states that the salaries payable to the Judges of the Supreme Court under this ... and pension payable to or in respect of the Comptroller and Auditor General of India; etc.

Who is authorized to issue coins in India? (1) Reserve Bank of India (2) Ministry of Finance (3) State Bank of India (4) Indian Overseas Bank

Description : Who is authorized to issue coins in India? (1) Reserve Bank of India (2) Ministry of Finance (3) State Bank of India (4) Indian Overseas Bank

Last Answer : (2) Ministry of Finance Explanation: Coins may be coined at the Mint for issue under the authority of the Central Government, (of such denominations not higher than one hundred rupees), such ... the Ministry of Finance and bears the signature of the secretary. All currency notes are legal tender.

Who is authorised to issue coins in India ? (1) Reserve Bank of India (2) Ministry of Finance (3) State Bank of India (4) Indian Overseas Bank

Description : Who is authorised to issue coins in India ? (1) Reserve Bank of India (2) Ministry of Finance (3) State Bank of India (4) Indian Overseas Bank

Last Answer : Ministry of Finance

Commercial banks create credit - (1) on the basis of their securities (2) on the basis of their assets (3) on the basis of their reserve fund (4) on the basis of their deposits

Description : Commercial banks create credit - (1) on the basis of their securities (2) on the basis of their assets (3) on the basis of their reserve fund (4) on the basis of their deposits

Last Answer : (4) on the basis of their deposits Explanation: Commercial banks create credit on the basis of their deposits. Credit creation is the multiple expansions of banks demand deposits. Whenever, ... will depend on the primary deposits and also on the amounts of minimum legal resource requirement.

What is the Cash Reserve Ratio (CRR)? a) the fraction of the deposits that commercial banks lend to the customers b) the fraction of the deposits that RBI must keep with commercial banks c) the fraction of the deposits that commercial banks must keep with RBI d) none of the above

Description : What is the Cash Reserve Ratio (CRR)? a) the fraction of the deposits that commercial banks lend to the customers b) the fraction of the deposits that RBI must keep with commercial banks c) the fraction of the deposits that commercial banks must keep with RBI d) none of the above

Last Answer : c) the fraction of the deposits that commercial banks must keep with RBI

Commercial banks create credit (1) on the basis of their securities (2) on the basis of their assets (3) on the basis of their reserve fund (4) on the basis of their deposits

Description : Commercial banks create credit (1) on the basis of their securities (2) on the basis of their assets (3) on the basis of their reserve fund (4) on the basis of their deposits

Last Answer :  on the basis of their deposits

Which of the following estimates National Income in India: A. Central Statistical Organisation B. National Income Committee C. Planning Commission D. Reserve bank of India

Description : Which of the following estimates National Income in India: A. Central Statistical Organisation B. National Income Committee C. Planning Commission D. Reserve bank of India

Last Answer : A. Central Statistical Organisation

The RBI can decrease the money supply in the market by: a) selling government securities b) buying government securities c) borrowing money from commercial banks d) none of the above

Description : The RBI can decrease the money supply in the market by: a) selling government securities b) buying government securities c) borrowing money from commercial banks d) none of the above

Last Answer : a) selling government securities

If he Central Bank wants to encourage an increase in the supply of money and decrease in the cost of borrowing money, it should - (1) lower cash reserve ratio (2) raise discount rates (3) sell government securities (4) All of the above

Description : If he Central Bank wants to encourage an increase in the supply of money and decrease in the cost of borrowing money, it should - (1) lower cash reserve ratio (2) raise discount rates (3) sell government securities (4) All of the above

Last Answer : (1) lower cash reserve ratio Explanation: When the Central Bank of a country intends to increase money supply, it should lower the Cash Reserve Ratio. A decrease in CRR helps the commercial banks to ... the amount of Bank deposits and they will lend more as they have more amount as their reserve.

If the Central Bank wants to encourage an increase in the supply of money and decrease in the cost of borrowing money, it should (1) lower cash reserve ratio (2) raise discount rates (3) sell government securities (4) All of the above

Description : If the Central Bank wants to encourage an increase in the supply of money and decrease in the cost of borrowing money, it should (1) lower cash reserve ratio (2) raise discount rates (3) sell government securities (4) All of the above

Last Answer :  lower cash reserve ratio

Bank rate is that rate on which - (1) Any bank lends money to an individual (2) State Bank of India gives loan to the rural banks (3) Central Bank of Country lends money to the commercial banks (4) Rural bank gives loan to cooperative societies

Description : Bank rate is that rate on which - (1) Any bank lends money to an individual (2) State Bank of India gives loan to the rural banks (3) Central Bank of Country lends money to the commercial banks (4) Rural bank gives loan to cooperative societies

Last Answer : (3) Central Bank of Country lends money to the commercial banks Explanation: Bank rate, also referred to as the discount rate, is the rate of interest which a central bank charges on the loans and ... reserve bank, while the repo rate is the rate at which the banks borrow from the central bank.

Bank rate is that rate on which– (1) Any bank lends money to an individual (2) State Bank of India gives loan to the rural banks (3) Central Bank of Country lends money to the commercial banks (4) Rural bank gives loan to cooperative societies

Description : Bank rate is that rate on which– (1) Any bank lends money to an individual (2) State Bank of India gives loan to the rural banks (3) Central Bank of Country lends money to the commercial banks (4) Rural bank gives loan to cooperative societies

Last Answer : Central Bank of Country lends money to the commercial banks

In free economy the decision about investment, saving and consumption are decided by (a) Price mechanism ; (b) Central bank ;(c) Planning Commission ;(d) Finance budget

Description :  In free economy the decision about investment, saving and consumption are decided by (a) Price mechanism ; (b) Central bank ;(c) Planning Commission ;(d) Finance budget 

Last Answer : (a) Price mechanism

Which of the following is governed by the provisions of Section 42 of the Reserve Bank of India Act, 1934? A. Bank rate B. Reverse Repo Rate C. SLR D. CRR E. None of the Above

Description : Which of the following is governed by the provisions of Section 42 of the Reserve Bank of India Act, 1934? A. Bank rate B. Reverse Repo Rate C. SLR D. CRR E. None of the Above

Last Answer : D. CRR Explanation: CRR is governed by the provisions of Section 42 of the Reserve Bank of India Act, 1934. There is no minimum & maximum level of CRR. We could go upto zero CRR (negative values are of course absurd).

A Credit Bureau is governed by _________ A. Securities and Exchange Board of India Act, 1992 B. Reserve Bank of India Act, 1934 C. Banking Regulation Act, 1949 D. Securities and Exchange Board of India (Credit Rating Agencies) Regulations, 1999 E. Credit Information Companies (Regulation) Act of 2005

Description : A Credit Bureau is governed by _________ A. Securities and Exchange Board of India Act, 1992 B. Reserve Bank of India Act, 1934 C. Banking Regulation Act, 1949 D. Securities and Exchange ... of India (Credit Rating Agencies) Regulations, 1999 E. Credit Information Companies (Regulation) Act of 2005

Last Answer : E. Credit Information Companies (Regulation) Act of 2005 Explanation: A Credit Bureau is governed by the Credit Information Companies (Regulation) Act of 2005.

Bank rate is the rate of interest: (1) At which public borrows money from Commercial Banks (2) At which public borrows money from R.B.I. (3) At which Commercial Banks borrow money from R.B.I. (4) At which Commercial Banks borrow money from the public

Description : Bank rate is the rate of interest: (1) At which public borrows money from Commercial Banks (2) At which public borrows money from R.B.I. (3) At which Commercial Banks borrow money from R.B.I. (4) At which Commercial Banks borrow money from the public

Last Answer : (3) At which Commercial Banks borrow money from R.B.I. Explanation: Bank Rate is the interest rate at which a nation's central bank lends money to domestic banks. Often these loans are ... activity. Regulation of the economy through management of the money supply is referred to as monetary policy.

Bank rate is the rate of interest - (1) at which public borrows money from Commercial Bank (2) at which public borrows money from RBI (3) at which Commercial Banks borrow money from RBI (4) at which Commercial Banks borrow money from public

Description : Bank rate is the rate of interest - (1) at which public borrows money from Commercial Bank (2) at which public borrows money from RBI (3) at which Commercial Banks borrow money from RBI (4) at which Commercial Banks borrow money from public

Last Answer : (3) at which Commercial Banks borrow money from RBI Explanation: Bank Rate is the interest rate at which a nation’s central bank lends money to domestic banks. Managing the bank rate is a preferred method by which central banks can regulate the level of economic activity.

What is 'Bank rate'? a) The rate at which commercial banks borrow money from RBI b) The rate at which commercial banks lend money to customers c) The rate at which commercial banks lend money to RBI d) none of the above

Description : What is 'Bank rate'? a) The rate at which commercial banks borrow money from RBI b) The rate at which commercial banks lend money to customers c) The rate at which commercial banks lend money to RBI d) none of the above

Last Answer : a) The rate at which commercial banks borrow money from RBI Bank rate is the rate at which commercial banks can borrow money from the RBI. If the rate is higher, then taking money from RBI becomes difficult, so the banks will lend less to public. And vice-versa.

National Disaster Reserve Fund is the result of? a. 12th Finance Commission b. 11thFinance Commission c. 13th Finance Commission d. None of the above

Description : National Disaster Reserve Fund is the result of? a. 12th Finance Commission b. 11thFinance Commission c. 13th Finance Commission d. None of the above

Last Answer : b. 11thFinance Commission

Bank Rate refers to the interest rate at which - (1) Commercial banks receive deposits from the public (2) Central bank gives loans to Commercial banks (3) Government loans are floated (4) Commercial banks grant loans to their customers

Description : Bank Rate refers to the interest rate at which - (1) Commercial banks receive deposits from the public (2) Central bank gives loans to Commercial banks (3) Government loans are floated (4) Commercial banks grant loans to their customers

Last Answer : (2) Central bank gives loans to Commercial banks Explanation: Bank rate is the interest rate at which a nation's central bank lends money to domestic banks. Often these loans are very short in duration.

Refinance facility is provided by NABARD. Which institutins can avail it. (a) Commercial Bank. (b) Regional Rural Banks. © State Cooperative Banks. (d) All of the above.

Description : Refinance facility is provided by NABARD. Which institutins can avail it. (a) Commercial Bank. (b) Regional Rural Banks. © State Cooperative Banks. (d) All of the above.

Last Answer : (d) All of the above.

What is the interest rate at which banks borrow money from Reserve Bank of India (RBI) called?

Description : What is the interest rate at which banks borrow money from Reserve Bank of India (RBI) called?

Last Answer : Repo Rate

With reference to India polity, which one of the following statements is correct? (1) Planning commission is accountable to parliament. (2) President can make ordinance only when either of the two houses of parliament is not in session. (3) The minimum age prescribed for appointment as a judge of the Supreme Court is 40 years. (4) NDC is constituted of Union Finance Minister and the Chief Ministers of all the states.

Description : With reference to India polity, which one of the following statements is correct? (1) Planning commission is accountable to parliament. (2) President can make ordinance only when either of the two houses ... (4) NDC is constituted of Union Finance Minister and the Chief Ministers of all the states.

Last Answer : (2) President can make ordinance only when either of the two houses of parliament is not in session. Explanation: President can promulgate ordinances when the parliament is not in session. ... take immediate action, he may promulgate such Ordinance as the circumstances appear to him to require.

Resources transferred from the Government of India to States are termed `statutory' if they are made (1) in the form of loans (2) on the recommendations of the Planning Commission (3) on the recommendations of the Finance Commission (4) in the form of grants

Description : Resources transferred from the Government of India to States are termed `statutory' if they are made (1) in the form of loans (2) on the recommendations of the Planning Commission (3) on the recommendations of the Finance Commission (4) in the form of grants

Last Answer : (3) on the recommendations of the Finance Commission Explanation: in an explicit recognition of vertical and horizontal imbalances, the Indian Constitution embodies enabling and mandatory provisions to ... have to bring about uniform income and services and economic integration among the states.

Which one of the following Commissions is not provided in the Constitution of India? (1) Planning Commission (2) UPSC (3) Finance Commission (4) Election Commission

Description : Which one of the following Commissions is not provided in the Constitution of India? (1) Planning Commission (2) UPSC (3) Finance Commission (4) Election Commission

Last Answer : (1) Planning Commission Explanation: The Planning Commission was set up by a Resolution of the Government of India in March 1950. It is not provided in the constitution of India.

Who prepares the five years plan? a) Finance Commission b) Planning Commission c) Government Of India d) None of the above

Description : Who prepares the five years plan? a) Finance Commission b) Planning Commission c) Government Of India d) None of the above

Last Answer : b) Planning Commission

Who presides over the National Development Council of India? (A) Chairman of the Planning Commission of India. (B) Prime Minister of India. (C) Finance Minister of India. (D) Vice-President of India.

Description : Who presides over the National Development Council of India? (A) Chairman of the Planning Commission of India. (B) Prime Minister of India. (C) Finance Minister of India. (D) Vice-President of India.

Last Answer : (B) Prime Minister of India.

Who prepares the Five Year Plan? (i) Finance Commission (ii) Planning Commission (iii) Government of India (iv) None of the above

Description : Who prepares the Five Year Plan? (i) Finance Commission (ii) Planning Commission (iii) Government of India (iv) None of the above

Last Answer : (ii) Planning Commission

Who is Ex-officio Chairman of Planning Commission and National Development Council of India? (A) Prime Minister (B) President (C) Finance Minister (D) Vice-President

Description : Who is Ex-officio Chairman of Planning Commission and National Development Council of India? (A) Prime Minister (B) President (C) Finance Minister (D) Vice-President

Last Answer : (A) Prime Minister

Who presides over the National Development Council of India? (A) Chairman of the Planning Commission of India. (B) Prime Minister of India. (C) Finance Minister of India. (D) Vice-President of India.

Description : Who presides over the National Development Council of India? (A) Chairman of the Planning Commission of India. (B) Prime Minister of India. (C) Finance Minister of India. (D) Vice-President of India.

Last Answer : (B) Prime Minister of India.

Who is the signatory on the Indian currency notes in denomination of two rupees and above? (1) Secretary, Reserve Bank of India (2) Finance Secretary, Minister of Finance (3) Governor, Reserve Bank of India (4) Finance Minister, Ministry of Finance

Description : Who is the signatory on the Indian currency notes in denomination of two rupees and above? (1) Secretary, Reserve Bank of India (2) Finance Secretary, Minister of Finance (3) Governor, Reserve Bank of India (4) Finance Minister, Ministry of Finance

Last Answer : (3) Governor, Reserve Bank of India

The setting up of the National Housing Bank (NHB), a fully owned subsidiary of the Reserve Bank of India in _____ as the apex institution marketed the beginning of emergence housing finance as a fund based financial services in India.(a) 1987, b) 1978, c)1988)

Description : The setting up of the National Housing Bank (NHB), a fully owned subsidiary of the Reserve Bank of India in _____ as the apex institution marketed the beginning of emergence housing finance as a fund based financial services in India.(a) 1987, b) 1978, c)1988)

Last Answer : c)1988)

One-rupee currency note in India bears the signature of (A) The President of India (B) Finance Minister of India (C) Governor, Reserve Bank of India (D) Finance Secretary of Government of India

Description : One-rupee currency note in India bears the signature of (A) The President of India (B) Finance Minister of India (C) Governor, Reserve Bank of India (D) Finance Secretary of Government of India

Last Answer : (D) Finance Secretary of Government of India

9. If the Federal Reserve wishes to increase the money supply, it should: a. raise the reserve requirement b. raise the discount rate c. buy Treasury securities in the open market d. all of the above

Description : 9. If the Federal Reserve wishes to increase the money supply, it should: a. raise the reserve requirement b. raise the discount rate c. buy Treasury securities in the open market d. all of the above

Last Answer : c. buy Treasury securities in the open market

8. If the monetary base is increased by $1,000 and the reserve requirement is 10% (1/10), by how much will the money supply be increased? a. $100 b. $1,000 c. $5,000 d. $10,000

Description : 8. If the monetary base is increased by $1,000 and the reserve requirement is 10% (1/10), by how much will the money supply be increased? a. $100 b. $1,000 c. $5,000 d. $10,000

Last Answer : d. $10,000

Who determines the minimum support price in India? a) The Commission for Agricultural Costs and Prices b) The Agriculture Ministryc) The Finance Commissiond) NABARD

Description : Who determines the minimum support price in India? a) The Commission for Agricultural Costs and Prices b) The Agriculture Ministry c) The Finance Commission d) NABARD

Last Answer : a) The Commission for Agricultural Costs and Prices

Which of the below-mentioned institutes are linked with the financial sector of India controlled by the Reserve Bank of India (RBI)? a) Commercial Bank b) Money Lenders c) Stock Exchange Operations d) All the above

Description : Which of the below-mentioned institutes are linked with the financial sector of India controlled by the Reserve Bank of India (RBI)? a) Commercial Bank b) Money Lenders c) Stock Exchange Operations d) All the above

Last Answer : Answer- c

Regarding money supply situation in India it can be said that the : (1) Currency with the public is inconvertible only. (2) Currency with the public is less than the deposits with the banks. (3) Currency with the public is more than the deposits with the banks. (4) Currency with the public is almost equal to the deposits with banks.

Description : Regarding money supply situation in India it can be said that the : (1) Currency with the public is inconvertible only. (2) Currency with the public is less than the deposits with the banks. (3) ... the deposits with the banks. (4) Currency with the public is almost equal to the deposits with banks.

Last Answer : (2) Currency with the public is less than the deposits with the banks. Explanation: Money supply in India includes the following: (i) Currency with the public: (ii) Demand deposits and time ... to total supply of money has been increasing with reciprocal diminution in currency held by the public.

Regarding money supply situation in India it can be said that the : (1) Currency with the public is inconvertible only. (2) Currency with the public is less than the deposits with the banks. (3) Currency with the public is more than the deposits with the banks. (4) Currency with the public is almost equal to the deposits with banks.

Description : Regarding money supply situation in India it can be said that the : (1) Currency with the public is inconvertible only. (2) Currency with the public is less than the deposits with the banks. (3) ... the deposits with the banks. (4) Currency with the public is almost equal to the deposits with banks.

Last Answer : Currency with the public is less than the deposits with the banks.