Some Important terms of Global Economy || Few Minutes Series || Economy

[@poojasolanki9902]

Thanks sir ji 🙏🙏

[@Mr.Watcher_35]

Nice Explaination.....

[@cricketkedewane8362]

Thanks a lot sir

[@nehatomer9059]

Thank sir

[@divyanshuverma2442]

1. Govt. Borrowing could get costlier which might impede infrastructural investments thus harming revival of the economy. 2. Prospects of Stagflation since increasing interest rates might not necessarily amount to controlling inflation. 3. It can control FPI outflows from India however, given the appetite for dollar by the foreign investors, this measure might not be successful. 4. Competitive exports for the economy, but global demand slump in the air which might not convert into an advantage for India.

[@Peacewithuniverse]

If RBI keep on increasing the I terest rate then 1) money supply will reduce 2) less money available for private Investment as people would like to keep their money in less risk places 3) possibility of economic slowdown 4) unemployment 5) more responsibility of government towards social sector development as private sector wouldn't be willing to invest

[@pinayxindia5883]

Sir these terminology videos are in immensely helpful for Pre. Please keep uploading more.

[@divyajyoti7386]

If RBI increases the interest rate the money supply in the economy will be low and demand for goods will also decrease and low demand for goods leads to decrease inflation .

[@DeepakSahu-cc6cj]

Interest rate kaise money supply ko decrease krta h koi example se btayie

[@ananyadubey1235]

If interest rate is increased Lesser borrowing from banks as IR is high by pvt sector Inflation will decrease as less money supply. Govt will have more resp to invest in economy due to which market will flood with more govt bonds and for that bond yield to attract investors will have to be increased as well.- high cost of borrowing As a result Corporate yield will also increase to make it lucrative- high cost of borrowing for corporate sector and equity market losing its charm. Operation twist could be used before infusing more bonds which will decrease the yield and ensure low cost borrowing

[@Youtubee010]

When the general price of goods and services increases at high rate in a short period is called inflation. Nowadays, along with the world India is also facing inflation which affects economy severely. To reduce its pace the RBI have taken many steps in which increase in interest rate is one of them. If the RBI continuously increases interest : Saving will increase, instead, expenditures but due to increase in EMI of loans investment would not occur which will reduce money supply in the economy. Thus the RBI increase interest rate until he doesn't feel that economy is now in contraction.

[@arsh7880]

When increase the interest rate, borrowers will cease to borrow and its impact negatively on indian economy. Correct it if its wrong!

[@satishsai2120]

RBI If increse monetary policy rates,banks keep more money with rbi rather than lending to private sector bcz rbi giving more interest rate for keeping money. Inturn banks have less money to lend as loans to private sector,less money circulation,ppl have less money to spend,overall demand for goods and services decreases. inflation comes in control between 2 to 6%

[@cricketkedewane8362]

If RBI increases interest rates Then there will be less lending from RBI and there will be less money in market Which will help in reducing inflation