Question

'If you want to gauge economic status of a country, analyse the status of its capital market'. This statement is pertaining to ________.

• A. monetary policy
• B. capital policy
• C. stock exchange
• D. None of the above

Answer 1

The correct option is C stock exchange

'If you want to gauge economic status of a country, analyze the status of its capital market'. This statement is pertaining to stock exchange.Stock exchange has a provision to list the securities for trading. This is a service given to corporate sector. Stock exchange leads to capital formation as prices of securities with a variable return continue to increase over a long term Stock exchange provides services like, wide dissemination of prices of securities.