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+15 votes
Why doesn't the Reserve Bank of India increase the money supply to boost the Indian economy?
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Best answer
That is not the answer. To print more money is to decrease the value of that money.
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If printing of more notes were to uplift an economy all the Dictators would have done it! It's good that RBI being a Central Bank is autonomous and it can not directly (!) be under pressure of all other vv imp. bodies/personnels (You all know what I mean?). They say, (I do not know what is fact but) rate of interest has been raised by U.S. Federal last several times but it has been withheld here because of prompts from F.M.; I am sure this is not true as Mr. P.M. who himself really is a great finance wizzard will not allow it!!!!!!!!
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