Post Utme Skyline University 2018 Economics Question 15

Practice objective / multiple choice question 15 from the 2018 Post Utme Skyline University Economics examination.

Post Utme Skyline University 2018 Economics Objective / Multiple Choice
Question 15 POST_UTME_SKYLINE_UNIVERSITY • 2018 • ECONOMICS • objective

A central bank implements a monetary policy by increa\sing the reserve requirement for commercial banks. What is the effect of this policy on the money supply?

Answer Options

A. Increases the money supply
Correct Answer B. Decreases the money supply
C. Has no effect on the money supply
D. Increases the interest rate
Correct Answer
B
Correct Option:
Decreases the money supply

About This Question

This is Post Utme Skyline University 2018 Economics Question 15. It is one of the objective questions from the 2018 Post Utme Skyline University Economics examination.

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