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What are open market operation? How.does …

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What are open market operation? How.does affect availability of credit

Posted by Sadiya Sadiya 7 years, 11 months ago

CBSE > Class 12 > Economics

2 answers

Yas S 7 years, 11 months ago

, open market operations refers to the sale and purchase of securities in the open market by Central Bank in the situation of inflation Central Bank tries to sell securities and by selling securities it tries to soak liquidity in the situation of deflation central Bank tries to purchase securities and by purchasing the securities it releases security..

Gayatri Parashar 7 years, 11 months ago

Buying and selling of government securities in the market by the central bank. Central Bank buys the securities in case of deflation and sells the securities in case of inflation.

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