Money and Banking -Class XII -Economics

What is the Cash Reserve Ratio (CRR)?

• the fraction of the deposits that commercial banks lend to the customers

• the fraction of the deposits that RBI must keep with commercial banks

• the fraction of the deposits that commercial banks must keep with RBI

Which bank is called lender of last resort?

• Commercial bank

• Agricultural bank

• Central bank

Which bank enjoys monopoly power of Note issue?

• NABARD

• Commercial Bank

• Central Bank

What is the name of Central Bank in India?

• SBI

• RBI

• PNB

Deposits which are payable after the expiry of a fixed period are called -

• time deposits.

• demand deposits.

• NONE

What is the ratio of deposits which commercial banks are required to keep with themselves called?

• CRR

• SLR

• both

The rate at which central bank lends to commercial banks for long term requirements is called?

• SLR

• CRR

• bank rate

Buying and selling of government securities by the central bank from/to banks is called?

• open market operations

• margin

• banking

Money which is accepted as a medium of exchange because of trust between the payer and the payee is called-

• full bodied money

• fait money

• fiduciary money

• None of these

Money thai is issued by the authority of the government is called-

• full bodied money

• fait money

• fuduciary money

• all the above