4.5.1 - Quantitative Methods
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Practice Questions
Test your understanding with targeted questions
What does the Bank Rate indicate?
💡 Hint: Think about borrowing costs.
What is the Cash Reserve Ratio?
💡 Hint: It relates to the funds banks can use for lending.
4 more questions available
Interactive Quizzes
Quick quizzes to reinforce your learning
What happens when the Bank Rate is increased?
💡 Hint: Think about borrowing costs.
True or False: Open Market Operations increase the money supply when the RBI sells securities.
💡 Hint: Consider what happens during a sale.
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Challenge Problems
Push your limits with advanced challenges
How would you recommend the RBI change the Bank Rate if inflation is rising rapidly? Justify your answer.
💡 Hint: Think about inflation's relationship with money supply.
Imagine a scenario where the economy is stagnant. Discuss how the RBI can use OMO and CRR to stimulate economic growth.
💡 Hint: Consider the processes of buying and lending.
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Reference links
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