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      Question

      What is the primary objective of monetary policy?

      A to maintain price stability Correct Answer Incorrect Answer
      B to regulate SENSEX Correct Answer Incorrect Answer
      C to increase RBI forex reserve Correct Answer Incorrect Answer
      D to increase indian currency value Correct Answer Incorrect Answer
      E None of these Correct Answer Incorrect Answer

      Solution

      The primary objective of monetary policy is to maintain price stability while keeping in mind the objective of growth. Price stability is a necessary precondition to sustainable growth.

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