Financial Institutions - Jamb Economics Past Questions and Answers

Question 36:

• JAMB 1982

Monetary policy does NOT involve

A. Increasing the import duties
B. Buying or selling treasury bills by the Central Bank
C. Printing of more currency note
D. Increasing or decreasing cash reserve ratio by the Central Bank
E. Raising the level of interest

Question 37:

• 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 38:

• 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

Question 39:

• JAMB 1983

The supply of loanable funds is significantly influenced by?

A. Commercial banks
B. Mortage banks
C. Financial intermediaries
D. The Central Bank
E. Insurance companies

Question 40:

• JAMB 1984

The Central Bank instrument of control does NOT include

A. Open market operation
B. Moral sanctions
C. Reverse requirements
D. Selective credit control
E. Printing bank-notes