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Commerce · Q692

Banking and Financial Institutions

Graduate and Post Graduate · Commerce · question 692

Q692

Assume that inflation in India is at a very high level. In such a situation, the central bank of India is required to following policy:

A.
a more liberal credit policy
B.
a very tight credit policy
Answer
C.
create an atmosphere of easy liquidity in the market
D.
raise the limits of personal and corporate income taxes

Answer: Option B

Solution

Answer: Option B
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