Note AcademyNote Academy
Start

Economics · Oct / Nov 2022 · Paper 12 · Question 18

2281Monetary policy

A central bank reduces interest rates. What would not be a consequence of this action?

  1. Aa benefit for borrowers receiving loans
  2. Ba fall in the international value of the currency
  3. Ca reduction in inflation
  4. Dan increase in GDP

As printed in the paper

Show the answer

Correct answer: C. a reduction in inflation

Sit this whole paper →More on Monetary policy

Make a free account to save your answers and see your weak topics and ask the AI why a wrong answer is wrong.