Money and Banking
Class 12 · Economics · 9 Questions
1intermediate💡 Understand3 marksShort Answer
What is a barter system? What are its drawbacks?
2intermediate💡 Understand4 marksShort Answer
What are the main functions of money? How does money overcome the shortcomings of a barter system?
3intermediate💡 Understand3 marksShort Answer
What is transaction demand for money? How is it related to the value of transactions over a specified period of time?
5beginner🧠 Remember2 marksVery Short
What is a ‘legal tender’? What is ‘fiat money’?
6beginner🧠 Remember2 marksVery Short
What is High Powered Money?
7intermediate💡 Understand5 marksLong Answer
Explain the functions of a commercial bank.
8intermediate💡 Understand3 marksShort Answer
What is money multiplier? What determines the value of this multiplier?
10intermediate🔍 Analyze3 marksShort Answer
Do you consider a commercial bank ‘creator of money’ in the economy?
11beginner🧠 Remember2 marksVery Short
What role of RBI is known as ‘lender of last resort’?