Civil Services Uttarakhand Combined State Civil/Upper Subordinate Services Examination 2025 General Knowledge Economy Money and Banking
Which of the following statements accurately describes the role of moral suasion in controlling money?
1
It is a combination of persuasion and pressure used by the RBI to influence banks' lending behaviour
2
It refers to the variation in the statutory liquidity ratio to regulate the allocation of bank credit.
3
It is a direct tool used by the RBI to control the money supply by setting interest rates.
4
It involves the sale and purchase of government securities to influence the money supply.