Post Utme Oau 2024 Economics Question 35

Practice objective / multiple choice question 35 from the 2024 Post Utme Oau Economics examination.

Post Utme Oau 2024 Economics Objective / Multiple Choice
Question 35 POST_UTME_OAU • 2024 • ECONOMICS • objective

A central bank uses the monetary policy tool of open market operations to increase the money supply. If the central bank buys ₦100 billion worth of government securities from commercial banks, what is the expected effect on the money supply?

Answer Options

A. Increase by ₦50 billion
Correct Answer B. Increase by ₦100 billion
C. Decrease by ₦50 billion
D. Decrease by ₦100 billion
Correct Answer
B
Correct Option:
Increase by ₦100 billion

About This Question

This is Post Utme Oau 2024 Economics Question 35. It is one of the objective questions from the 2024 Post Utme Oau Economics examination.

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