Question : Which of the following is not a type of trade restriction?
Option 1: Tariffs
Option 2: Quotas
Option 3: Subsidies
Option 4: Open market operations
Answer (1)
24th Jan, 2024
Correct Answer: Open market operations
Solution : The correct answer is (d) Open market operations
Open market operations are not a type of trade restriction. Open market operations refer to the buying and selling of government securities by a central bank to control the money supply and influence interest rates in an economy. It is a monetary policy tool used to manage the domestic economy and has no direct connection to trade restrictions.
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