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      Question

      The monetary policy is India is formulated by which of

      the following authority?
      A Ministry of Statistics and Program Implementation Correct Answer Incorrect Answer
      B Industrial Financial Corporation of India Correct Answer Incorrect Answer
      C Reserve Bank of India Correct Answer Incorrect Answer
      D Ministry of Finance Correct Answer Incorrect Answer
      E None of the above Correct Answer Incorrect Answer

      Solution

      Monetary policy is the macroeconomic policy laid down by the central bank. It involves management of money supply and interest rate and is the demand side economic policy used by the government of a country to achieve macroeconomic objectives like inflation, consumption, growth and liquidity.

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