If the Bank of England reduces the money supply to r... - Solved MCQs & Answer

3692EconomicsMedium

If the Bank of England reduces the money supply to reduce inflation a floating exchange rate will aid the Bank of England in fighting inflation because?

Aas the money supply is decreased the interest rate will increase and the price of both UK exports and UK imports will rise

Bas the money supply is decreased the interest rate will increase, and the price of UK exports will fall and the price of UK imports will rise

Cas the money supply is decreased the interest rate will increase and the price of UK exports and UK imports will fall.

Das the money supply is decreased the interest rate will increase and the price of UK exports will rise and the Price of UK imports will fall

Correct answer

C. as the money supply is decreased the interest rate will increase and the price of UK exports and UK imports will fall.

Explanation

The correct answer is as the money supply is decreased the interest rate will increase and the price of UK exports and UK imports will fall..

Income distribution according to productive contribution is________?

Portion of a company’s profit paid to common and preferred shareholders is called?

American foreign aid after World War II________?

The Cuban community in Miami is an example of________?

The Democrats lost the presidential elections in 1984 and 1988 because of________?

The debt-service ratio is the________?