UPSC Civil Services Prelims 2020
Question 20 of 70Indian Economy

If the RBI decides to adopt an expansionist monetary policy, which of the following would it not do?

ACut and optimize the Statutory Liquidity Ratio
BIncrease the Marginal Standing Facility Rate
CCut the Bank Rate and Repo Rate
DInject liquidity into the economy

Correct Answer

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Explanation

19 words hidden ... rates and injecting liquidity are consistent with this objective. Increasing the Marginal Standing Facility Rate would ... 19 words hidden

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