Consider the following statements with reference to the Monetary Policy:
1. The Reserve Bank of India increases the repo rate when they need to control prices and restrict borrowings.
2. Accommodative monetary policy is when central banks expand the money supply to boost the economy.
Which of the statements given above is/are correct?
1
1 only
2
2 only
3
Both 1 and 2
4
Neither 1 nor 2