Page 100 - VIRANSH COACHING CLASSES

2) National Stock Exchange (NSE), the leading 6) Investor Education and Protection Fund
stock exchange in India was established (IEPF) was established in 2001 to promote
in 1992. investors’ awareness and protecting the
3) Computerized Screen Based Trading interest of the investors.
System (SBTS) was introduced as a part of Do you know?
modernization.
Economic Policy in an Economy
4) Demat account has been introduced since Monetary Policy Fiscal Policy
1996 to facilitate easy purchase and sale Implemented by Implemented by
of shares by the investors through the Central Bank Central government
electronic method. Deals with Money Deals with taxes,
5) Increased access to global funds by Supply expenditure etc.
Indian companies was permitted through Aims at financial Aims at economic and
American Depository Receipts (ADRs) and stability social development
Global Depository Receipts (GDRs). Quantitative in nature Qualitative in nature

EXERCISE

Q. 1. Complete the following statements : b) accelerate the country's economic growth.
1) Development financial institutions were c) mobilise the savings and allocating them to
established to ............. various sectors of the economy.
a) provide short term funds. d) control the credit.
b) develop industry, agriculture and other key Q. 2. Complete the correlation :
sectors.
1) Money market : Short term funds :: :
c) regulate the money market.
Long term funds
d) regulate the capital market.
2) : Central Bank :: SBI : Commercial
2) Money market faces shortage of funds due to Bank
...........
3) Co-operative banks : Organized sector ::
a) inadequate savings. Indigenous bankers :

b) growing demand for cash. 4) Primary market : :: Secondary market
c) presence of unorganized sector. : Old issues
d) financial mismanagement.
Q. 3. Find the odd word :
3) Individual investors have lost confidence in the
1) Types of Bank Accounts : Saving a/c, D-mat
capital market due to ...........
a/c, Recurring a/c, Current a/c
a) lack of financial instruments.
2) Unregulated Financial intermediates : Mutual
b) high transaction costs. fund, Nidhi, Chit fund, Loan Companies
c) low returns.
3) Financial Assets : Bonds, Land, Govt.
d) financial scams. Securities, Derivatives

4) Commercial banks act as intermediaries in the 4) Quantitative Tools : Bank rate, Open market
financial system to ........... operations, Foreign Exchange rate, Variable
a) make profits reserve ratios

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