2010 - WAEC Economics Past Questions and Answers - page 4
31
The total stock of money available for use in an economy is
A
a function of money
B
a characteristics of money
C
the demand for money
D
the supply of money
correct option: d
Users' Answers & Comments32
Which of the following is not a reason for holding money?
A
Ostentation
B
Speculations
C
Transactions
D
Precautionary
correct option: a
Users' Answers & Comments33
The best way of combating demand-pull inflation is to
A
increase income taxes
B
reduce income taxes
C
increase import duties
D
increase salaries and wages
correct option: a
Users' Answers & Comments34
In which of the following ways has inflation adversely affected your country’s economy?
A
increase in money supply
B
a fall in real income
C
appreciation in the value of money
D
increased employment
correct option: b
Users' Answers & Comments35
Which of the following is a legal tender?
A
bank notes
B
bank overdrafts
C
bills of exchange
D
money order
correct option: a
Users' Answers & Comments36
The Central Bank controls money supply through all the following except
A
lending to the publics
B
bank rate
C
legal reserve requirements
D
open market operation
correct option: a
Users' Answers & Comments37
One of the functions of the Central Bank is
A
production of goods
B
issuing of currency
C
presenting budgets
D
printing of cheque books
correct option: b
Users' Answers & Comments38
The function of the Central Bank as the lender of last resort means that when all other sources fail,
A
the consumer can always borrow money from the Central Bank
B
the government can ask the Central Bank to print more money
C
commercial banks can raise loans from the Central Bank
D
commercial banks can deposit money with the Central Banks
correct option: c
Users' Answers & Comments39
One disadvantages of direct taxes is that they
A
allocate scarce resources
B
are not rigid
C
can be progressive
D
can be evaded
correct option: d
Users' Answers & Comments40
Excise duty is levied on
A
the total population
B
local products
C
luxury goods
D
the working population
correct option: b
Users' Answers & Comments