Posted inEconomics XII
Instruments of Monetary Policy
Monetary policy instruments are the tools used by central bank in order to control money supply and credit creation of BFIs, and to manage liquidity in the banking system.................
Posted inEconomics XI
Concept of Consumer’s Surplus and its importance
Consumer’s Surplus is the difference between willingness to pay and the actual payment made by consumer. Alternatively, it is defined as the difference between Total Utility and Total expenditure.........................
Posted inEconomics XII
Financial Market and its Types
Financial market is such type of market where the short term and long term financial instruments like T-Bills, repo, stocks, bonds,debenture etc are traded. The financial market can be classified…
Posted inEconomics XII
Functions of Commercial Bank
: the primary functions of commercial bank are collection of deposits and granting loan and advances..................
Posted inEconomics XI
Law of Equi-Marginal Utility/Law of Substitution
According to this law, a rational consumer allocates his given money income between two goods in such a way that the ratio of marginal utility to price of each good…
Posted inEconomics XI
Law of Diminishing Marginal Utility
According to this law, the utility obtained from the consumption of successive units of a commodity within a given time period gradually declines...............................
Posted inEconomics XI
Total Utility, Marginal Utility and their relationship
Total Utility (TU): It is the total satisfaction obtained from the consumption of a given units of a commodity by a consumer within a given time period. In other words,…
Posted inEconomics XI
Cardinal and ordinal approach of utility and assumption of cardinal approach
1. Cardinal utility approach: utility can be measured quantitatively or in number terms. Utility is measured in terms of Utils. This approach is advocated/developed by Alfred Marshall............
Posted inEconomics XII
Central Bank and its function
Central bank is the apex (supreme) monetary institution of a country. It regulates, supervises, and monitor the other Bank and Financial Institutions in the economy. It’s main objective is ........................
Posted inEconomics XII
what is Bank, its role and classification of banks
A bank is an institution which deals with money and credit. Its main business is to collect the scattered idle deposits from the public and channel it to needy people…