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In India, suppliers of money are:
Government of the country
Banking system of the country
Both (a) and (b)
None of these
- Option 1: Government of the country
- The government influences money supply through fiscal policies, taxation, and printing currency via the central bank.
- Option 2: Banking system of the country
- Banks create money by lending more than they receive in deposits, a process known as the fractional reserve system.
- Option 3: Both (a) and (b)
- Both the government and banking system play roles in controlling and supplying money, making this a comprehensive option.
- Option 4: None of these
- This option is incorrect as both the government and banks are key suppliers of money.
By: santosh ProfileResourcesReport error
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