If the target of the Central Bank is to reduce the rate of inflation in the economy, it should not —

CS CSEET · Business Economics & Fundamentals of Accounting and Auditing · PYQS · December 2013
If the target of the Central Bank is to reduce the rate of inflation in the economy, it should not —
(A) Reduce the bank rate
(B) Raise the Cash Reserve Ratio (CRR)
(C) Raise the Statutory Liquidity Ratio (SLR)
(D) Raise the Repo rate.

Answer & Explanation:

Correct Answer: Option (A)

Correct answer: (A) Reduce the bank rate.

Topics: Business Economics

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