BANKING AND MONETARY POLICY — Economics STD 12 Commerce — Question

Various policies of monetary policy on the basis of economic theory: “The conscious steps undertaken by the monetary authority which bring about changes in the stock of money, source/generation of money and cost of money is called the monetary policy.” “The policy which entrusts various tools of regulating supply of money in the hands of the apex bank with the purpose of achieving general economic objectives is called monetary policy.” “The policy undertaken by the apex bank for regulating the supply of money in order to maintain economic stability keeping into consideration the process of economic development and interest of the public is called monetary policy.”