Financial Awareness - Risk, Stability & Emerging Finance
Which of the following is NOT a role of the capital market in the economy?
Which of the following is NOT a role of the capital market in the economy?
medium Q15 of 15
Step-by-Step Solution
Step 1: Understand the roles of capital market
Capital market mobilizes savings, provides liquidity, and helps in price discovery.Step 2: Analyze the options
Controlling inflation is a function of monetary policy managed by RBI, not the capital market.Final Answer:
Controlling inflation through monetary policy → Option CQuick Check:
Controlling inflation through monetary policy = correct ✅
Quick Trick: Inflation control = RBI's monetary policy, not capital market.
Common Mistakes:
- Attributing inflation control role to capital market.
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