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which of the following measure can be adopted to stabilize the external value of the...

Economics
WAEC 2018

which of the following measure can be adopted to stabilize the external value of the local currency?

  • A. reduce the volume of export
  • B. increase the demand for imports
  • C. increase domestic money supply
  • D. reduce the demand for imports
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Correct Answer: Option D
Explanation

A rise in imports has a negative effect on the balance of trade, that is, it will tend to increase the trade deficit or reduce the trade surplus.


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Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC and NECO CBT App for Mobile Devices - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now
WAEC and NECO CBT Software for Computers and Laptops - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now
Post UTME Past Questions Agent
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts