Post Utme Bsu 2019 Economics Question 6

Practice objective / multiple choice question 6 from the 2019 Post Utme Bsu Economics examination.

Post Utme Bsu 2019 Economics Objective / Multiple Choice

Question 6 POST_UTME_BSU • 2019 • ECONOMICS • objective

Consider a country with a balance of payments deficit. Explain how the central bank can use monetary policy to reduce the deficit.

Correct Answer A. Increase interest rates to reduce consumption and imports

B. Decrease interest rates to increase consumption and imports

C. Implement capital controls to limit foreign investment

D. Increase the money supply to stimulate economic growth

Correct Answer

Correct Option:

Increase interest rates to reduce consumption and imports

This is Post Utme Bsu 2019 Economics Question 6. It is one of the objective questions from the 2019 Post Utme Bsu Economics examination.

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows

Chat with Support