Quantity Theory Of Money (fisher Equation) Jamb Economics Past Questions
Question 6
During the era of barter, money was generally in the form of
- A. notes
- B. precious metals
- C. coins
- D. commodities
Question 7
One of the main achievements of the Economic Commission for Africa is
- A. eliminating trade restrictions among states
- B. encouraging transport and communication development
- C. guaranteeing a steady flow of foreign investment into Africa
- D. providing the machinery for collaboration on monetary issues
Question 8
The theoretical relationship between money supply and prices is weakened by changes in the
- A. money supply
- B. general price level
- C. velocity of money
- D. interest rate
Question 9
To control inflation, the monetary authorities of a country can
- A. reduce taxes
- B. advise the government to increase its expenditure
- C. engage in expansive monetary policies
- D. engage in restrictive monetary policies
Question 10
An increase in money supply, other things being equal, will?
- A. lower interest rates
- B. reduce income
- C. ensure trade balance
- D. increase money demand
