Central bank - Jamb Economics Past Questions and Answers

Question 6:

• JAMB 1980

Which is NOT a function of Central Bank in West Africa

A. Dealing in foreign exchange
B. Issuing of currency
C. Accepting deposit from private customers
D. Acting as government bank
E. Acting as bankers bank

Question 7:

• JAMB 1981

Which of the following is NOT a major function of a Central Bank?

A. Serving as Goverment''s bank
B. Serving as bankers bank
C. Acceptance of deposit from the public
D. Responsibility for monetary policy
E. Serving as lender of last resort

Question 8:

• JAMB 1982

Which one of the following functions of banks in Nigeria is reserved to the Central Bank?

A. Accepting deposits
B. Serving as agents for payments
C. Issuing bank-notes
D. Lending to customers
E. Purchasing and selling of stock exchange securities

Question 9:

• JAMB 1982

Which is considered the most effective tool by which the Central Bank of Nigeria can control the activities of commercial banks?

A. Open market operation
B. Reserve requirements
C. Bank rate
D. Directives
E. Special deposits

Question 10:

• JAMB 1982

If the Central Bank intends to increase the money supply through open market operations then it will

A. Sell securities in the open market
B. Buy securities in the open market
C. Issues more currency note
D. Withdraw money supply from the market
E. Print more demand deposit