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Credit creation means. - Economics

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प्रश्न

Credit creation means.

विकल्प

  • Multiplication of loans and advances

  • Revenue

  • Expenditure

  • Debt

MCQ

उत्तर

Multiplication of loans and advances

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अध्याय 6: Banking - Model Questions [पृष्ठ १२१]

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सामाचीर कलवी Economics [English] Class 12 TN Board
अध्याय 6 Banking
Model Questions | Q 5. | पृष्ठ १२१

संबंधित प्रश्न

Explain different types of loans and advances provided by commercial banks.


Explain the components of Legal reserve Ratio.


State whether the following statement is true or false.

The Cash Reserve Ratio does not affect the lending capacity of the commercial banks.


Write short note on :

Credit Creation.


Explain with reason, whether you agree or disagree with the following statement:

Commercial banks perform agency functions to earn profit.


Write short Answer for the following question:

Explain various types of Bank Deposits ?


 Fill in the blank with appropriate alternatives given in the bracket :

 Commercial banks create __________. 


 Define of Explain the following concept: 

Recurring deposit  

 


State whether the following statements are True or False with reason: 

 Interest rate is more for fixed deposits. 


Fill in the blank with appropriate alternatives given below

__________ is a primary function of commercial banks.


Give reason or explain the following statement:

Saving account deposits are usually opened by salaried class. 


Answer the following question:
Explain various types of deposits. 


Answer the following question:
What are the different types of loans provided by commercial banks? 


State with reason whether you agree or disagree with the following statement. 

A commercial bank create credit on the basis of primary deposit. 


State whether the following statement is True or False :

Loans given by banks for a period of less than five years is known as long - term loan.


Answer the following question.
Explain the money creation function of commercial banks.


The process of money creation or credit creation is done by ______


M4 = ______ + Total deposits with the Post Office Saving Organization (excluding National Saving Certificate).


Commercial Bank was facing a financial crisis due to the crisis of non-performing assets. It went to the RBI for help. What role will RBI play in such a case?


Identify the correctly matched pair of the items in Column A to that of Column B

Column A Column B
1 Money (a) Supply of Money
2 Commercial Bank (b) Store of Value
3 Central Bank (c) Credit Control
4 M4 (d)  Circulation of Money

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