CA Foundation Exam  >  CA Foundation Questions  >  An increase in money supply ______ in a natio... Start Learning for Free
 An increase in money supply ______ in a nation’s Economy will decrease the following.
  • a)
    Open market purchase by the nation’s Central Bank 
  • b)
    A deserve in the bank rate
  • c)
    A decrease in the reserve ratio 
  • d)
    A decrease in the margin requirement.
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
An increase in money supply ______ in a nation’s Economy will de...
During open market situations the central bank sells the the securities which enables transfer of money from households to the central bank which reduces money supply in the economy and stabilizes the inflation
Free Test
Community Answer
An increase in money supply ______ in a nation’s Economy will de...
Can lead to inflation if there is not a corresponding increase in economic output. This is because with more money in circulation, there is more demand for goods and services, but if the supply of goods and services remains the same, prices will rise. However, if the increase in money supply stimulates economic growth and production, then it can lead to increased employment, higher incomes, and overall economic prosperity.
Explore Courses for CA Foundation exam

Similar CA Foundation Doubts

An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer?
Question Description
An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer?.
Solutions for An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation. Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer?, a detailed solution for An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? has been provided alongside types of An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice An increase in money supply ______ in a nation’s Economy will decrease the following.a)Open market purchase by the nation’s Central Bankb)A deserve in the bank ratec)A decrease in the reserve ratiod)A decrease in the margin requirement.Correct answer is option 'A'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
Explore Courses for CA Foundation exam

Top Courses for CA Foundation

Explore Courses
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev