wiz-icon
MyQuestionIcon
MyQuestionIcon
11
You visited us 11 times! Enjoying our articles? Unlock Full Access!
Question

To increase the money supply in the economy, central bank reduces the margin requirements.

A
True
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
B
False
No worries! We‘ve got your back. Try BYJU‘S free classes today!
Open in App
Solution

The correct option is A True
A fall in marginal requirements enhances the borrowing capacity of public, which raises the money supply in the economy.

flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Budget
ECONOMICS
Watch in App
Join BYJU'S Learning Program
CrossIcon