Bhavnagar University 2007 M.B.A Management of Information Systems CENTRAL BANKING AND MONETARY MANAGEMENT - Question Paper

M.B.A. DEGREE EXAMINATION, DECEMBER 2007.

CENTRAL BANKING AND MONETARY MANAGEMENT

Time : 3 hours Maximum : 100 marks
part A — (5 ? eight = 40 marks)
Answer any 5 ques..
Each ques. carries eight marks.
1. Distinguish ranging from Developed and underdeveloped Money Markets.
2. List out the characteristics of a central bank.
3. What do you mean by open market operation? elaborate its objectives?
4. Describe the organizational structure of the Reserve Bank of India.
5. Write explanatory note on 'Monetary policy alone cannot achieve full employment'.
6. Discuss the function of problem of currency notes by RBI.
7. State the need for deposit insurance and discuss the deposit insurance facility available in India.
8. Critically examine the role of RBI in industrial finance.
SECTION B — (4 ? 15 = 60 marks)
Answer any 4 ques..
Each ques. carries 15 marks.
9. Briefly define the functions of a Central Bank.
10. "Loans create deposits" Examine this statement and bring out clearly the process of creation of credit banks.
11. Define Monetary Policy and discuss its objectives.
12. Explain the role of RBI in relation to —
(a) Licensing of commercial banks.
(b) Banker to commercial banks and
(c) Banker to the government.
13. What do you mean by selective credit control? discuss it in detail.
14. Describe the role of Reserve Bank of India in rural credit.

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