The primary objective of monetary policy in India is to maintain price stability, which helps ensure a stable and predictable economic environment.

Quantitative easing is not a tool used by the RBI to implement monetary policy in India.

An increase in the repo rate increases the cost of borrowing for banks, as they have to pay a higher interest rate to borrow money from the RBI.

The asset price channel is not a channel through which monetary policy affects the economy.

A decrease in the repo rate decreases the cost of borrowing for businesses, making it more attractive for them to invest in new projects and expand their operations.

The political environment is not a factor that affects the effectiveness of monetary policy transmission.

The main objective of open market operations is to influence the money supply by buying or selling government securities in the open market.

A decrease in the bank rate decreases the cost of borrowing for businesses, as banks are able to borrow money from the central bank at a lower interest rate.

Quantitative easing is not a type of monetary policy, but rather a specific tool used to implement monetary policy.

Monetary policy can influence the exchange rate by affecting the demand for and supply of domestic currency.

The main objective of the Monetary Policy Committee (MPC) in India is to set the repo rate, which is the rate at which banks borrow money from the RBI.

A decrease in the repo rate decreases the cost of borrowing for consumers, making it more attractive for them to take out loans and make purchases.

The political environment is not a factor that affects the effectiveness of monetary policy.

The main objective of the Reserve Bank of India (RBI) is to maintain price stability, which helps ensure a stable and predictable economic environment.

Monetary policy can influence the overall level of prices in the economy by affecting the demand for and supply of money.