Quantitative Measures Used in Monetary Policy Central banks use various tools and measures to implement their monetary policy objectives. Quantitative measures refer to the numerical or quantitative tools used by the central bank to influence the money supply and credit conditions in the economy. This article will provide an overview of some of the most …
Monetary Policy Process The monetary policy process refers to the steps taken by the central bank to influence the money supply and credit conditions in the economy. The following are the key points that explain the monetary policy process: Setting objectives: The central bank sets its monetary policy objectives, which typically include maintaining price stability, …
Monetary Policy Committee The Monetary Policy Committee (MPC) is a committee of the Reserve Bank of India (RBI) that is responsible for setting the monetary policy of the country. The following are the key points that explain the MPC: Composition: The MPC is composed of six members, with three members nominated by the central government …
Difference Between Monetary Policy and Fiscal Policy Sure, here is a table highlighting the key differences between monetary policy and fiscal policy: Monetary Policy Fiscal Policy Implemented by Central bank Government Objective Influence the money supply to achieve price stability and promote sustainable economic growth Influence government spending and taxation policies to achieve economic stability …
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Types of Monetary Policy There are generally two types of monetary policy, and they are: Expansionary Monetary Policy: This type of monetary policy is implemented when the central bank aims to stimulate economic growth by increasing the money supply and lowering interest rates. This can be done through various tools, such as reducing the reserve …
Monetary Policy Sure, here are some key pointers to help explain monetary policy: Definition: Monetary policy refers to the actions taken by a central bank to influence the supply of money and credit in an economy. Objectives: The primary objective of monetary policy is to achieve price stability and promote sustainable economic growth. Tools: Central …
Meaning of the Regulatory Bodies in Indian Stock Market Regulatory bodies play a crucial role in maintaining the integrity and stability of the Indian stock market. Here are some key pointers to help explain the regulatory bodies in relation to the Indian stock market: Securities and Exchange Board of India (SEBI): SEBI is the primary …
Meaning of the term Insider Trading in Stock Market using Pointers Insider trading is the illegal practice of buying or selling securities based on non-public information that is material to the stock’s price. This information is typically known only to insiders of the company, such as executives, directors, or other employees who have access to …
Meaning of the term Short-Selling in stock market Short-selling is a trading strategy used in the stock market that involves selling borrowed shares of a stock in the hope of buying them back later at a lower price to make a profit. In other words, short-sellers bet against the stock’s price, hoping that it will …
Meaning of the term Arbitrage in Stock Market In the stock market, arbitrage refers to the practice of buying and selling securities simultaneously in different markets to take advantage of price discrepancies and generate a profit with little or no risk. It is a trading strategy that seeks to exploit inefficiencies in the market by …
