CUET-UG SERIES Economics
Monetary Economics
2 previous year questions.
Volume: 2 Ques
Yield: Medium
High-Yield Trend
1
2025 1
2024 Chapter Questions 2 MCQs
01
PYQ 2024
easy
economics ID: cuet-ug-
Read the following passage carefully and answer the questions given below:
Money is the commonly accepted medium of exchange. The first and foremost role of money is that it acts as a medium of exchange. Economic exchanges without the mediation of money are referred to as barter exchanges. The central bank has several important functions. It issues the currency of the country. India got its central bank in 1935. Its name is the โReserve Bank of India.โ It controls money supply of the country through various methods, like bank rate, open market operations, and variations in reserve ratios. It acts as a banker to the government. It is the custodian of the foreign exchange reserves of the economy. It also acts as a bank to the banking system. Currency issued by the Central Bank can be held by the public or by the commercial banks and is called the โhigh-powered moneyโ or โreserve moneyโ or โmonetary baseโ as it acts as a basis for credit creation.
Money is the commonly accepted medium of exchange. The first and foremost role of money is that it acts as a medium of exchange. Economic exchanges without the mediation of money are referred to as barter exchanges. The central bank has several important functions. It issues the currency of the country. India got its central bank in 1935. Its name is the โReserve Bank of India.โ It controls money supply of the country through various methods, like bank rate, open market operations, and variations in reserve ratios. It acts as a banker to the government. It is the custodian of the foreign exchange reserves of the economy. It also acts as a bank to the banking system. Currency issued by the Central Bank can be held by the public or by the commercial banks and is called the โhigh-powered moneyโ or โreserve moneyโ or โmonetary baseโ as it acts as a basis for credit creation.
02
PYQ 2025
medium
economics ID: cuet-ug-
Which of the following statements about monetary policy tools is correct?
1
Cash Reserve Ratio affects the inflation rate directly.
2
Discount rates control the supply of money.
3
Both (1) and (2) are correct.
4
Open Market Operations involve the buying and selling of government securities.
About Monetary Economics - CUET-UG
Monetary Economics is a vital chapter for CUET-UG aspirants. Mastering the concepts covered in this chapter is essential for securing a top rank.
By rigorously practicing the previous year questions associated with this chapter, you can identify high-yield topics, understand the examiner's perspective, and boost your confidence during the actual exam.
Frequently Asked Questions
Why focus on Monetary Economics PYQs?
Analyzing PYQs for this specific chapter reveals the most frequently tested concepts and the typical complexity of questions, allowing you to tailor your study plan efficiently.
How to best use this analysis?
Review the topic breakdown to see which sub-topics within Monetary Economics carry the most weight. Then, tackle the questions iteratively to solidify your understanding.