A: Increasing rediscounting and relending
B: Increasing the central bank notes issued
C: Selling government bonds
D: Raising required reserve ratio
举一反三
- Which behaviors below will increase monetary aggregates ( ). A: The central bank purchases gold B: The central bank purchases foreign exchanges on foreign exchange market C: The central bank purchases government bonds D: Commercial banks sell foreign exchanges on foreign exchange market E: The central bank raises required reserve ratio
- Central Bank sometimes carry out equal foreign and domestic asset transactions in opposite directions to nullify the impact of their foreign exchange operations on the domestic money supply. This policy is called sterilized foreign exchange intervention.
- Which of the following changes to the central bank will increase the deposit reserve of commercial banks, assuming the assets of the central bank remain unchanged? A: Increase in deposits of the Ministry of Finance in the central bank B: Foreign deposits in the central bank increase C: Increase in central bank bond issuance D: Reduction of currency in circulation
- The following is the expansionary monetary policy is( ). A: Increase money supply B: The central bank conducts reverse repo operations on the open market C: Reduce the rediscount rate D: Lower the benchmark deposit rate E: Central Bank issues bonds
- To increase the Money Supply, a Central Bank can: ( ) A: Increase<br/>the Reserve Requirement. B: Reduce<br/>the Reserve Requirement. C: None<br/>of the above.
内容
- 0
Which of the following is a tightening monetary policy ( ). A: Central bank raises the rediscount rate B: Increase the money supply C: The central bank conducts reverse repo operations on the open market D: Central bank reduces the rediscount rate
- 1
Which of the following is NOT a way in which a central bank can conduct its monetary policy? A: by establishing target interest rates and then undertaking open market operations to maintain them B: by buying and selling government bonds C: by making small policy changes and readjusting policies as needed D: by changing the rate of capital accumulation to influence aggregate supply E: by changing interest rates to influence spending on durable goods and investment
- 2
The ability<br/>of a commercial bank to create credit depends on which TWO of the<br/>following? A: The size of<br/>the bank's deposits in its account at the central bank. B: The amount<br/>of cash and liquid assets held by the bank. C: The<br/>willingness of the central bank to sell bonds to the bank. D: The ratio<br/>between the bank's assets and its liabilities. E: The<br/>required ratio of liquid assets to total assets.
- 3
In the short run, a central bank can most easily stimulate economic activity by A: selling government bonds to the public B: raising interest rates to make investments more profitable C: lowering the inflation rate though monetary restriction D: influencing aggregate supply through monetary expansion E: influencing aggregate demand and accepting a higher price level in the future
- 4
9,Authorities also use a third option called open market operations to _______ or contract the money supply in the country’s banking system. It involves buying and selling of government securities like bonds or foreign currencies in the open market.