Sun	Mon	Tue	Wed	Thu	Fri	Sat
27	28	29	30	1	2	3
4	5	6	7	8	9	10
11	12	13	14	15	16	17
18	19	20	21	22	23	24
25	26	27	28	29	30	31
1	2	3	4	5	6	7

Back to Main Page

Multiple Choice Questions

Consider the following statements Statement I In India CentraLGovernment determines the inflation ta...........

Indian Economy Money and banking

Consider the following statements

Statement I :In India, CentraLGovernment determines the inflation target, in consultation with Reserve Bank of India, in terms of Consumer Price Index once in five years.

Statement II :At present, the Monetoxy_flthey framework inIndia is operated by Central Government. Which of the following is correct in respect of the above statements ?

This questions was previously asked in

EPFO EO AO 2023

View All EPFO Previous Year Papers

'Both statement I and statement II are correct and statement II is the correct explanation for statement I

Both statement I and statement II are correct and statement II is not the correct explanation for statement I

Statement I is correct but statement II is incorrect

Statement I is incorrect but statement II is correct

छोटे Courses बड़े Results

Master Money and banking

Prepare through Micro-courses

Try Now

Explanation:

- Statement I: This is correct. In India, the Central Government sets the inflation target in consultation with the Reserve Bank of India (RBI). This target is based on the Consumer Price Index and is reviewed every five years.

- Statement II: This statement is incorrect. The Monetary Policy Framework in India involves both the Central Government and the RBI. However, the RBI primarily operates the monetary policy.

- Option 1: Incorrect because statement II does not explain statement I.

- Option 2: Incorrect because statement II is not correct.

- Option 3: Correct. Statement I is right, but statement II is wrong.

- Option 4: Incorrect because statement I is correct.

Report error

Submit Error