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Question
Distinguish between Organized sector and Unorganized sector of the money market.
Solution
Organized sector of the money market | Unorganized sector of the money market |
The organized sector includes:
|
The unorganized sector includes:
|
This sector comes under the purview of RBI. | This sector does not come under the control of RBI. |
The interest rates are low and borrowers are not exploited. | The interest rates are very high and borrowers are exploited. |
It mainly operates in urban, semi-urban, and certain rural areas. | It mainly operates in rural areas or remote regions where the organized sector is not developed. |
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RELATED QUESTIONS
Complete the correlation:
Co-operative banks : Organized sector :: Indigenous bankers : ___________
Find the odd word out:
Unregulated Financial intermediates:
Assertion and Reasoning:
Assertion (A): The unorganized sector of the money market lacks transparency.
Reasoning (R): Activities of the unorganized sector are largely confined to rural areas.
Identify and explain the concept from the given illustration:
Sara makes a monthly contribution to a fund jointly created by her friends. The collected fund is then given to a chosen member through lucky draw.
Find the odd word
Unregulated non-bank financial intermediaries -
Explain the structure of unorganized sector of money market in India
- Assertion (A): The unorganized sector of the money market Lacks transparency.
- Reasoning (R): Activities of the unorganized sector are Largely confined to rural areas.
Complete the correlation:
Co-operative banks : Organised Sector :: Indigenous bankers : ______
Factors which are working in unorganized money market.
- Money lenders
- Commercial bank
- Hundi
- Chit funds