Post Utme Madonna University 2019 Economics Question 38

Practice objective / multiple choice question 38 from the 2019 Post Utme Madonna University Economics examination.

Post Utme Madonna University 2019 Economics Objective / Multiple Choice
Question 38 POST_UTME_MADONNA_UNIVERSITY • 2019 • ECONOMICS • objective

A central bank uses open market operations to increase the money supply in the economy. Which of the following instruments can it use to achieve this?

Answer Options

Correct Answer A. Buying government securities from commercial banks
B. Selling government securities to commercial banks
C. Increa\sing the reserve requirement for commercial banks
D. Lowering the discount rate
Correct Answer
A
Correct Option:
Buying government securities from commercial banks

About This Question

This is Post Utme Madonna University 2019 Economics Question 38. It is one of the objective questions from the 2019 Post Utme Madonna University Economics examination.

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