Page 148 - DECO303_INDIAN_ECONOMY_ENGLISH

Dilfraz Singh, Lovely Professional University
Unit 9: Indian Currency System

Unit 9: Indian Currency System Notes

CONTENTS
Objectives
Introduction

9.1 Indian Currency System
9.1.1 Decimal System
9.1.2 Demonetisation of Currency

9.2 Indian Rupee
9.2.1 Overview
9.2.2 History
9.2.3 International Use
9.3 Tactile and Security Features

9.3.1 Tactile Features
9.3.2 Security Features
9.4 Reserve Money

9.4.1 RBI Creates Reserve Money
9.4.2 Impact of Reserve Money
9.5 Money Multiplier
9.5.1 Money Multiplier Impacts Money Supply
9.6 Foreign Exchange Reserves

9.7 Capital Account Convertibility and Current Account Convertibility
9.8 Summary
9.9 Keywords

9.10 Review Questions
9.11 Further Readings

Objectives

After studying this unit, you will be able to:
Describe the concept of Indian currency system

Discuss the various tactile and security features
Define reserve money and money multiplier
Explain the concept of foreign exchange reserves
Know the concept of convertibility of the current and capital account

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