Economics · Class 11 Commerce
Ch 9Money, Banking and Inflation — Class 11 Economics, concept-first.
This chapter of the Andhra Pradesh Intermediate first-year Economics syllabus moves from the theory of markets and prices to the institutions that make a modern exchange economy work at all — money, the banks that create and move it, and the price-level problem, inflation, that arises when its supply and the economy's…
Key concepts
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Functions of Money
Functions of Money
Most relevant Q&A
- Define money. Distinguish between money and near-money, giving two examples of near-money assets.Free
- Explain the primary, secondary, and contingent functions of money with suitable examples.Free
- Write a short note on: Store of valuePreview
- Write a short note on: Store of valuePreview
- Distinguish between different types of money.Preview
In previous exams
How often this chapter’s concepts have been examined — real appearance data, never estimated.
Chapter contents
The NCERT structure, section by section. Open a section to see its questions, then read the concept-first solution.
Meaning and Functions of Money
This chapter of the Andhra Pradesh Intermediate first-year Economics syllabus moves from the theory of markets and prices to the institutions that make a modern exchange economy work at all — money, t…
Kinds of Money and Near-Money
Money has taken different forms as economies evolved, and understanding these forms clarifies why some assets are treated as money while others are only 'near' it.
Money Supply and Its Measures
Money supply is the total stock of money held by the public — households and firms — at a given point in time.
Functions of Commercial Banks
A commercial bank is a financial institution licensed to accept deposits from the public and lend money to individuals, businesses, and government, earning its main income from the spread between the…
Credit Creation by Commercial Banks
Credit creation is the process by which the commercial banking system, taken as a whole, expands the total volume of money supply to a multiple of the original cash deposited with it.
The Central Bank (RBI) — Functions and Methods of Credit Control
The Reserve Bank of India (RBI) is India's central bank, established in 1935 under the Reserve Bank of India Act, 1934, and nationalised in 1949.
Inflation — Meaning, Types and Causes
Inflation is a sustained and persistent rise in the general price level of goods and services in an economy over a period of time, which results in a fall in the purchasing power of money.
Effects of Inflation and Anti-Inflationary Measures
Inflation affects different groups and different parts of the economy unevenly.
Exercises
+−Show 10 questionsHide questions10 questions
- Q3Define money. Distinguish between money and near-money, giving two examples of near-money assets.Free
- Q4Explain the primary, secondary, and contingent functions of money with suitable examples.Free
- Q5What is money supply? Distinguish between M1 and M3.Free
- Q6State any four primary functions of a commercial bank.Preview
- Q7What is meant by credit creation? Explain the role of the Cash Reserve Ratio in the process.Preview
- Q8What is meant by 'lender of last resort'? Name two other important functions of the RBI.Preview
- Q9Explain the quantitative (general) methods of credit control used by the Reserve Bank of India.Preview
- Q10Distinguish between demand-pull inflation and cost-push inflation, with the main causes of each.Preview
- Q11Distinguish between creeping inflation and hyperinflation, and between open inflation and repressed inflation.Preview
- Q12Discuss the monetary and fiscal measures used to control inflation.Preview
Sample & Board Papers
Sample papers and previous-year board questions for this subject.
+−Show 24 questionsHide questions24 questions
- Q1Write a note on the functions of Reserve Bank of India.Preview
- Q2State the types of Inflation.Preview
- Q3Write a short note on: Store of valuePreview
- Q4Write a short note on: Near moneyPreview
- Q5Write a short note on: OverdraftPreview
- Q6Write a short note on: CurrencyPreview
- Q7State the objectives of central bank.Preview
- Q8Enumerate the measures for control of inflation.Preview
- Q9Write a short note on: OverdraftPreview
- Q10Write a short note on: CurrencyPreview
- Q11Write a short note on: InflationPreview
- Q12Write a short note on: Store of valuePreview
- Q13Distinguish between different types of money.Preview
- Q14State the types of inflation.Preview
- Q15Write a short note on: LiquidityPreview
- Q16Write a short note on: Near MoneyPreview
- Q17Write a short note on: RBIPreview
- Q18Write a short note on: Demand-pull inflationPreview
- Q19Enumerate the measures for control of inflation.Preview
- Q20State the objectives of Central Bank.Preview
- Q21Write a short note on: Meaning of InflationPreview
- Q22Write a short note on: Over-draftPreview
- Q23Write a short note on: Near MoneyPreview
- Q24Write a short note on: LiquidityPreview
More questions
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- Example 1An economy reports the following figures for a given date: Currency with the public = ₹4,000 crore; Demand deposits with banks = ₹2,500 cror…Free
- Example 2A commercial bank receives an initial fresh deposit of ₹50,000. If the Cash Reserve Ratio (CRR) fixed by the RBI is 20%, calculate (a) the t…Preview