With reference to Indian economy, consider the following :
(1) Bank rate
(2) Open market operations
(3) Public debt
(4) Public revenue
Which of the above is/are component/components of Monetary Policy?
With reference to Indian economy, consider the following :
(1) Bank rate
(2) Open market operations
(3) Public debt
(4) Public revenue
Which of the above is/are component/components of Monetary Policy?
Answer:
(c)
Core Books/NCERT
Public debt and Public revenue are matters falling under Fiscal policy. The Ministry of Finance handles these subjects. Bank rate and OMOs fall within the jurisdiction of RBI’s monetary policy.Tikdam: what govt does is fiscal policy – so public debt and public revenue are part of fiscal policy bank rate and OMOs done by RBI i.e Monetary authority hence monetray policy