Lending to member states that are experiencing serious balance of payments problems is the role of:
Which of the following provide possible explanations for the existence of a structure of interest rates?
(i). Borrowers having different risk profiles
(ii). Lenders wishing to lend for different time profiles
(iii). The market for loanable funds being perfectly competitive
(iv). The existence of margins between borrowing and lending rates
A government may try to reduce a balance of payments deficit on current account by using either expenditure-reducing policies or expenditure-switching policies.
Which of the following is an expenditure-reducing policy?
The linking of net savers with net borrows is known as:
A government can finance a budget deficit by:
i. increasing taxation rates.
ii. Reducing government expenditure.
iii. Selling long term government bonds.
iv. Issuing Treasury Bills.
v. Raising interest rates.
vi. Reducing transfer payments.
All of the following are functions of central banks except which one?
Which of the following have been recommended in order to prevent a repeat of the 2008 financial crisis?
The following figures relate to a particular economy.
From the above information, it can be correctly concluded that each pound was spent an average of
Which of the following is not likely to result from a fall in the rate of interest?
Part of a country's unemployment figures will consist of people moving between jobs. Which type of unemployment is this?
