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When a member's currency is declared "scarce", it is the duty of the IMF to______

Economics
JAMB 2019

When a member's currency is declared "scarce", it is the duty of the IMF to______

  • A. suspend the member state indefinitely
  • B. ban all exports from that state
  • C. suspend dealings in that currency for one year
  • D. ration it among the countries demanding it
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Correct Answer: Option D
Explanation

The clause provided that if the IMF ran out of sticks of a country's currency, this could be declared a "scarce currency", upon which members would be entitled and expected to discriminate against the country's goods in their trade policies.


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WAEC offline past questions - with all answers and explanations in one app - Download for free
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC offline past questions - with all answers and explanations in one app - Download for free