Money and Credit
Class 10 · Social Science · 29 Questions
How does the use of money make it easier to exchange things?
Can you think of some examples of goods/services being exchanged or wages being paid through barter?
M. Salim wants to withdraw Rs 20,000 in cash for making payments. How would he write a cheque to withdraw money?
Tick the correct answer. After the transaction between Salim and Prem,
Why are demand deposits considered as money?
Supposing Salim continues to get orders from traders. What would be his position after 6 years?
What are the reasons that make Swapna's situation so risky? Discuss factors – pesticides; role of moneylenders; climate.
Why do lenders ask for collateral while lending?
Given that a large number of people in our country are poor, does it in any way affect their capacity to borrow?
Fill in the blanks choosing the correct option from the brackets. While taking a loan, borrowers look for easy terms of credit. This means _____ (low/high) interest rate, _____ (easy/tough) conditions for repayment, _____ (less/more) collateral and documentation requirements.
List the various sources of credit in Sonpur.
Compare the terms of credit for the small farmer, the medium farmer and the landless agricultural worker in Sonpur.
Why will Arun have a higher income from cultivation compared to Shyamal?
Can everyone in Sonpur get credit at a cheap rate? Who are the people who can?
Talk to some people to find out the credit arrangements that exist in your area. Record your conversation. Note the differences in the terms of credit across people.
What are the differences between formal and informal sources of credit?
Why should credit at reasonable rates be available for all?
Should there be a supervisor, such as the Reserve Bank of India, that looks into the loan activities of informal lenders? Why would its task be quite difficult?
Why do you think that the share of formal sector credit is higher for the richer households compared to the poorer households?
In situations with high risks, credit might create further problems for the borrower. Explain.