UPSC Exam > UPSC Videos > Famous Books for UPSC Exam (Summary & Tests) > Monetary & Liquidity Measures: Money & Banking
Monetary & Liquidity Measures: Money & Banking Video Lecture | Famous Books for UPSC Exam (Summary & Tests)
|
545 videos|966 docs|373 tests
|
FAQs on Monetary & Liquidity Measures: Money & Banking Video Lecture - Famous Books for UPSC Exam (Summary & Tests)
| 1. What are monetary measures in the context of money and banking? |  |
Ans. Monetary measures refer to the tools and indicators used by central banks to manage the money supply and control inflation. These measures include open market operations, reserve requirements, and changes in the discount rate.
| 2. How do open market operations affect monetary policy? | |
Ans. Open market operations involve the buying and selling of government securities by the central bank. When the central bank buys securities, it injects money into the economy, increasing the money supply. Conversely, when it sells securities, it reduces the money supply. These operations are used to control interest rates and influence the overall liquidity in the economy.
| 3. What is the significance of reserve requirements in monetary policy? | |
Ans. Reserve requirements are the minimum amount of funds that banks must hold in reserve against their deposit liabilities. By adjusting these requirements, central banks can influence the amount of money that banks are able to lend. Lowering reserve requirements allows banks to lend more, stimulating economic activity, while raising them restricts lending and helps control inflation.
| 4. How does the discount rate impact the economy? | |
Ans. The discount rate is the interest rate at which commercial banks can borrow funds directly from the central bank. By lowering the discount rate, the central bank encourages borrowing and stimulates economic activity. Conversely, raising the discount rate makes borrowing more expensive, discouraging lending and slowing down the economy.
| 5. What are liquidity measures and why are they important in banking? | |
Ans. Liquidity measures are indicators that assess the ability of banks to meet their short-term obligations. These measures include the liquidity coverage ratio and the net stable funding ratio. They are important in banking because they ensure that banks have enough liquid assets to cover potential cash outflows and maintain stability in the financial system.
Related Exams
About this Video
|
4.95/5 Rating |
|
Nov 17, 2024 Last updated |
Video Description: Monetary & Liquidity Measures: Money & Banking for UPSC 2024 is part of Famous Books for UPSC Exam (Summary & Tests) preparation.
The notes and questions for Monetary & Liquidity Measures: Money & Banking have been prepared according to the UPSC exam syllabus.
Information about Monetary & Liquidity Measures: Money & Banking covers all important topics for UPSC 2024 Exam.
Find important definitions, questions, notes, meanings, examples, exercises and tests below for Monetary & Liquidity Measures: Money & Banking.
Introduction of Monetary & Liquidity Measures: Money & Banking in English is available as part of our Famous Books for UPSC Exam (Summary & Tests) for UPSC & Monetary & Liquidity Measures: Money & Banking in
Hindi for Famous Books for UPSC Exam (Summary & Tests) course. Download more important topics related with notes, lectures and mock test series for
UPSC Exam by signing up for free.
Description
Video Lecture & Questions for Monetary & Liquidity Measures: Money & Banking Video Lecture | Famous Books for UPSC Exam (Summary & Tests) - UPSC full syllabus preparation | Free video for UPSC exam to prepare for Famous Books for UPSC Exam (Summary & Tests).
Information about Monetary & Liquidity Measures: Money & Banking
Here you can find the meaning of Monetary & Liquidity Measures: Money & Banking defined & explained in the simplest way possible.
Besides explaining types of Monetary & Liquidity Measures: Money & Banking theory, EduRev gives you an ample number of questions to practice Monetary & Liquidity Measures: Money & Banking tests,
examples and also practice UPSC tests.
|
545 videos|966 docs|373 tests
|
|
Explore Courses for UPSC exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
Summary
,Viva Questions
,Exam
,Monetary & Liquidity Measures: Money & Banking Video Lecture | Famous Books for UPSC Exam (Summary & Tests)
,Monetary & Liquidity Measures: Money & Banking Video Lecture | Famous Books for UPSC Exam (Summary & Tests)
,video lectures
,past year papers
,practice quizzes
,ppt
,mock tests for examination
,Important questions
,study material
,Extra Questions
,Free
,shortcuts and tricks
,Monetary & Liquidity Measures: Money & Banking Video Lecture | Famous Books for UPSC Exam (Summary & Tests)
,Previous Year Questions with Solutions
,Objective type Questions
,Sample Paper
,MCQs
,Semester Notes
;
Study Monetary & Liquidity Measures: Money & Banking on the App
Students of UPSC can study Monetary & Liquidity Measures: Money & Banking alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Monetary & Liquidity Measures: Money & Banking,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Monetary & Liquidity Measures: Money & Banking is prepared as per the latest UPSC syllabus.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup