Money MarketMTP - June 2023 (Inter)Question 151 of 20
All Questions

Narrow Money refers to:

Options

AM1
BM2
CM3
DM4
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Correct Answer

✅ Option a — M1

All Options:

  • AM1
  • BM2
  • CM3
  • DM4

About This Chapter: Money Market

Paper

Paper 4: Business Economics

Weightage

10%

Key Topics

Money Demand/Supply, Monetary Policy

This chapter covers the monetary system — how money circulates in the economy. Topics include Demand for Money, Supply of Money, Monetary Policy instruments (Repo Rate, CRR, SLR, Open Market Operations), and the role of the Reserve Bank of India in controlling inflation and managing the economy.

View Official ICAI Syllabus

Exam Strategy Tip

Memorize the RBI's monetary policy instruments and their impacts. Questions often ask about the effect of changing CRR or Repo Rate on money supply.

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More Questions from Money Market

Call money market deals in funds for:

Which is NOT a function of RBI?

Repo Rate is the rate at which:

Treasury bills are issued by:

Money supply M1 includes:

CRR stands for:

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