Search SchoolNGR

Economics Past Questions and Answers

Classroom

Economics Questions

Question 916:

Restriction on credit creation by commercial banks can be effected through?

SchoolNGR Classroom

A An overdraft
B Loans and advances
C Demand deposits
D Liquidity ratio

View Answer & Explanation

Question 917:

Which of the following factors enhances the ability of commercial banks to create money?

SchoolNGR Classroom

A Reduction in the reserve ratio
B Leakage of cash out of banking system
C Excess of reserves
D Insistence on collateral security

View Answer & Explanation

Question 918:

In any economy, what is used as money is determined by?

SchoolNGR Classroom

A Government acceptance commodity standard
B Government acceptance of an inconvertible paper standard
C Laws and customs
D Its use as a store of value

View Answer & Explanation

Question 919:

The rate at which money changes hands is known as the?

SchoolNGR Classroom

A Rate of inflation
B Velocity of transactions
C Velocity of money
D Velocity of circulation

View Answer & Explanation

Question 920:

Merchants banks perform all the following functions EXCEPT?

SchoolNGR Classroom

A Raising of capital for industry
B Provision of current account facilities
C Management of investment portfolios
D Provision of credit for overseas trade

View Answer & Explanation

Stay Updated

Follow us on:

Subjects