Consider the following statements regarding credit creation by commercial banks:1. It depends on reserve ratio2. It is inversely related to excess reserves3. It increases with higher public preference for cash - Study24x7
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Dev kumar
01 Jan 1970 05:30 AM study24x7 study24x7

Consider the following statements regarding credit creation by commercial banks:

1. It depends on reserve ratio
2. It is inversely related to excess reserves
3. It increases with higher public preference for cash

A

1 only

B

1 and 2 only

C

2 and 3 only

D

1, 2 and 3

UPSC
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