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Economics · 2025 · 1 mark
CBSE 2025 · Region 5 · Set 1 · Q4
Read the following statements carefully: Statement 1: During deflationary gap, the Central Bank of a country may increase the repo rate. Statement 2:…
Read the following statements carefully :Statement $\displaystyle 1$ : During deflationary gap, the Central Bank of a country may increase the repo rate.Statement $\displaystyle 2$ : The government can reduce the deflationary gap by purchasing Government Securities (G-Sec) in the open market.In the light of the given statements, choose the correct option from the following :
Official answer
(D)
Both Statements $\displaystyle 1$ and $\displaystyle 2$ are false.
Marking-scheme solution
(D)
Both Statements $\displaystyle 1$ and $\displaystyle 2$ are false.
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CBSE Class 12 Economics past-paper question from the 2025 board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.