Post Utme Noun 2019 Economics Question 1

Practice objective / multiple choice question 1 from the 2019 Post Utme Noun Economics examination.

Post Utme Noun 2019 Economics Objective / Multiple Choice
Question 1 POST_UTME_NOUN • 2019 • ECONOMICS • objective

Consider a country with a fixed money supply of ₦100 billion. If the central bank decides to increase the reserve requirement from 10% to 15%, what will be the effect on the money multiplier?

Answer Options

A. The money multiplier will decrease
B. The money multiplier will increase
Correct Answer C. The money multiplier will remain unchanged
D. The money multiplier will be unaffected
Correct Answer
C
Correct Option:
The money multiplier will remain unchanged

About This Question

This is Post Utme Noun 2019 Economics Question 1. It is one of the objective questions from the 2019 Post Utme Noun Economics examination.

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