Post Utme Unilorin 2025 Economics Question 8

Practice objective / multiple choice question 8 from the 2025 Post Utme Unilorin Economics examination.

Post Utme Unilorin 2025 Economics Objective / Multiple Choice

Question 8 POST_UTME_UNILORIN • 2025 • ECONOMICS • objective

U\sing the IS-LM model, explain how an increase in the money supply affects the interest rate and output in the short run.

Answer Options

Correct Answer A. The interest rate decreases and output increases.

B. The interest rate increases and output decreases.

C. The interest rate remains unchanged and output increases.

D. The interest rate remains unchanged and output decreases.

Correct Answer

Correct Option:

The interest rate decreases and output increases.

About This Question

This is Post Utme Unilorin 2025 Economics Question 8. It is one of the objective questions from the 2025 Post Utme Unilorin Economics examination.

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