Consider the following statements: Statement- I: In the post-pandemic recent past, many Central Banks…

Question

Consider the following statements: Statement- I: In the post-pandemic recent past, many Central Banks worldwide had carried out interest rate hikes. Statement- II:Central Banks generally assume that they have the ability to counteract the rising consumer prices via monetary policy means. Which one of the following is correct in respect of the above statements?

Accepted Answer

Both Statements- I and Statement II are correct and Statement II is the correct explanation for Statement I

Answer

Both Statements- I and Statement II are correct and Statement II is not the correct explanation for Statement I

Answer

Statement I is correct but Statement II is incorrect

Answer

Statement I is incorrect but Statement II is correct

UPSC Prelims 2023 Question 82 of 100

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