How the central bank contributes in incr

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Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Money and Banking

Question:

How the central bank contributes in increasing cash flows in the economy?

Options:

by buying the securities

by selling the securities

by freezing the securities

none of them

Correct Answer:

by buying the securities

Explanation:

Central bank buys the securities to increase the cash flows.