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What recent change in investment behavior has been observed among Indian households?
  • a)
    Increased preference for bank deposits
  • b)
    Shift towards investments in capital markets
  • c)
    Higher savings in government bonds
  • d)
    Decreased interest in real estate investments
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
What recent change in investment behavior has been observed among Indi...
Indian households have increasingly shifted their investment behavior towards capital markets rather than traditional bank deposits. This change has been influenced by favorable market returns following the pandemic, leading to a reallocation of funds. Such behavioral shifts can significantly impact the banking sector and the overall economy, as they alter the dynamics of deposit creation and liquidity. An interesting aspect of this trend is that it reflects a broader global movement where individuals seek higher returns in a low-interest-rate environment, often at the cost of traditional savings methods.
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What recent change in investment behavior has been observed among Indian households?a) Increased preference for bank depositsb) Shift towards investments in capital marketsc) Higher savings in government bondsd) Decreased interest in real estate investmentsCorrect answer is option 'B'. Can you explain this answer?
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