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Economics Mcqs — Test 58

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Question 1
Which of the following activities is one of the responsibilities of the Bank of England to the banking system ?
Question 2
Assume that commercial banks are holding excess reserves because business firms and consumers are not willing to borrow money A decrease in the discount rate is likely to ?
Question 3
When economies speak of the demand for money which of the following are they asking ?
Question 4
Which of the following events will lead to a decrease in the equilibrium interest rate ?
Question 5
Government Securities with terms of more than one year are called ?
Question 6
An item designated as money that is intrinsically worthless is ?
Question 7
Which of the following is included in broad money, but not included in narrow money ?
Question 8
If there is a general shortage of liquidity in the money market then ?
Question 9
The three main tools of monetary policy are ?
Question 10
Bance Solida has, in the past, always operated with a reserve ratio of 25 percent. It has now been taken over by Gung-Ho Bank Which operates with a reserve ration of 12½ percent, Assuming that Banca Solida adopts the business practices of its new owner, What will be the effect on money supply in the country in which Banca Solida operates ?