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Monetary Policy - Definition, Types and Objectives
If rupee depreciates,what is the purpose of taking money from the people by issuing government bonds?please make a answer.
Surabhi Agrawal
2 years ago
rupee depreciation means fall in value of currency. One reason may be excessive rupee availability as compared to dollar. hence value of dollar appreciating and value of money depreciating. Hence if rupee is squeezed out by selling bonds to people or through other means then it will reduce rupee availability which may increase the value of rupee
Nimisha Chauhan
2 years ago
Ma'am how does excessive availability of rupee decrease its value? And what all factors determine the value of a currency?
Surabhi Agrawal
2 years ago
I will soon make a course on this.. then it will become clearer
Nimisha Chauhan
2 years ago
Okay..thank you ma'am :)