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WAEC Economics 2019 Objective — Question 8

Question 8 of 50 from the West African Examinations Council (WAEC) Economics 2019 Objective paper, with the correct answer and a full explanation.

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The interest rate to control the money supply is a

  • A. control policy
  • B. monetary policyCorrect
  • C. developmental policy
  • D. fiscal policy

Explanation

Using interest rates to regulate the money supply is a classic tool of monetary policy, typically implemented by the central bank.

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