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Question
Money supply in India may increase if, ______
- Reserve Bank of India (RBI) injects more money in circulation.
- The commercial banks expand their credit operation.
- Tax rates are reduced by the Central Government.
- Reserve Bank of India increases the Bank Rate.
Options
1, 2 and 3 are correct.
2, 3 and 4 are correct.
1, 3 and 4 are correct.
1, 2 and 4 are correct.
Solution
1, 2 and 3 are correct.
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