Post Utme Delsu 2025 Economics Question 38

Practice objective / multiple choice question 38 from the 2025 Post Utme Delsu Economics examination.

Post Utme Delsu 2025 Economics Objective / Multiple Choice
Question 38 POST_UTME_DELSU • 2025 • ECONOMICS • objective

The money multiplier is the ratio of the change in the money supply to the change in the reserve requirement. Which of the following is the formula for the money multiplier?

Answer Options

A. \( \frac{1}{r} \)
B. \( \frac{r}{1} \)
Correct Answer C. \( \frac{1}{1-r} \)
D. \( \frac{r}{1-r} \)
Correct Answer
C
Correct Option:
\( \frac{1}{1-r} \)

About This Question

This is Post Utme Delsu 2025 Economics Question 38. It is one of the objective questions from the 2025 Post Utme Delsu Economics examination.

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