Post Utme Veritas University 2023 Economics Question 19

Practice objective / multiple choice question 19 from the 2023 Post Utme Veritas University Economics examination.

Post Utme Veritas University 2023 Economics Objective / Multiple Choice
Question 19 POST_UTME_VERITAS_UNIVERSITY • 2023 • ECONOMICS • objective

The Central Bank of Nigeria (CBN) has implemented a monetary policy aimed at reducing inflation. If the CBN increases the reserve requirement for commercial banks, what will happen to the money supply?

Answer Options

A. Money supply will increase
Correct Answer B. Money supply will decrease
C. Money supply will remain the same
D. Money supply will increase at first, then decrease
Correct Answer
B
Correct Option:
Money supply will decrease

About This Question

This is Post Utme Veritas University 2023 Economics Question 19. It is one of the objective questions from the 2023 Post Utme Veritas University Economics examination.

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