RBI and Its Policies · UPSC CDS/OTA · Question 11 of 30

RBI and Its Policies – Question 11

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Topic
RBI and Its Policies
Subject
General Studies
Difficulty
Medium
Solve Time
45–60 sec

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Q · RBI and Its PoliciesMedium · 45s

Consider the following with respect to the RBI's control over credit: 1. Repo and Reverse Repo Rates are examples of quantitative tools. 2. Moral Suasion is a qualitative tool. Which is/are correct?

TopicRBI and Its Policies
Question Typemultiple choice
DifficultyMedium
Marking+1 / −0.33
Test Duration30 min

Step-by-Step Solution

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Both are correct. Repo tools control the quantity of money; moral suasion influences banking behaviour.

Final Answer: Option C — Both 1 and 2
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RBI and Its Policies Question 11 – UPSC CDS/OTA