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Which of the following is true about the term Hawkish Stance used in economy?
  • a)
    It indicates a willingness on the part of the central bank to expand money supply and cut interest rates.
  • b)
    It indicates that the central bank’s top priority is to keep the inflation low.
  • c)
    The central bank typically adopts such a policy when growth needs policy support and inflation is not the immediate concern.
  • d)
    This stance is typically adopted when the policy priority is equal on both inflation and growth.
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Which of the following is true about the term Hawkish Stance used in e...
  • A hawkish stance indicates that the central bank’s top priority is to keep the inflation low.
  • During such a phase, the central bank is willing to hike interest rates to curb money supply and thus reduce the demand.
  • A hawkish policy also indicates tight monetary policy.
  • When the central bank increases rates or 'tightens' the monetary policy, banks too increase their rate of interest on loans to end borrowers which, in turn, curbs demand in the financial system. Hence, option B is correct.
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Which of the following is true about the term Hawkish Stance used in economy?a)It indicates a willingness on the part of the central bank to expand money supply and cut interest rates.b)It indicates that the central bank’s top priority is to keep the inflation low.c)The central bank typically adopts such a policy when growth needs policy support and inflation is not the immediate concern.d)This stance is typically adopted when the policy priority is equal on both inflation and growth.Correct answer is option 'B'. Can you explain this answer?
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Which of the following is true about the term Hawkish Stance used in economy?a)It indicates a willingness on the part of the central bank to expand money supply and cut interest rates.b)It indicates that the central bank’s top priority is to keep the inflation low.c)The central bank typically adopts such a policy when growth needs policy support and inflation is not the immediate concern.d)This stance is typically adopted when the policy priority is equal on both inflation and growth.Correct answer is option 'B'. Can you explain this answer? for CUET 2024 is part of CUET preparation. The Question and answers have been prepared according to the CUET exam syllabus. Information about Which of the following is true about the term Hawkish Stance used in economy?a)It indicates a willingness on the part of the central bank to expand money supply and cut interest rates.b)It indicates that the central bank’s top priority is to keep the inflation low.c)The central bank typically adopts such a policy when growth needs policy support and inflation is not the immediate concern.d)This stance is typically adopted when the policy priority is equal on both inflation and growth.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CUET 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which of the following is true about the term Hawkish Stance used in economy?a)It indicates a willingness on the part of the central bank to expand money supply and cut interest rates.b)It indicates that the central bank’s top priority is to keep the inflation low.c)The central bank typically adopts such a policy when growth needs policy support and inflation is not the immediate concern.d)This stance is typically adopted when the policy priority is equal on both inflation and growth.Correct answer is option 'B'. Can you explain this answer?.
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