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61.

Monetary policy consists of:

A.	Decreasing taxes	B.	Changing total money supply
C.	Checking commercial banks	D.	Printing of money

62.

State Bank of Pakistan has departments:

A.	Issue and banking department	B.	Issue and research department
C.	Banking and research department	D.	Issue, research and banking department

63.

Central bank's rate of lending to commercial banks is called

A.	Interest rate	B.	Discount rate
C.	Money rate	D.	Control rate

64.

When a central bank wants to increase money supply in circulation:

A.	Purchases govt. securities	B.	Lowers bank rate
C.	Directs banks to advance more loans	D.	(a) and (b) of above

65.

State Bank of Pakistan is run by:

A.	Board of directors	B.	Board of governors
C.	Board of managers	D.	Board of bankers

66.

Credit money is controlled by:

A.	Government	B.	Commercial banks
C.	Central bank	D.	Markets

67.

Every country establishes central bank to:

A.	Issue notes	B.	Supervise commercial banks
C.	Give loans to business	D.	(a) and (b) of above

68.

It is NOT an instrument of monetary policy:

A.	Bank rate	B.	Open market operations
C.	Change in reserve ratio	D.	Issue notes

69.

It creates credit:

A.	Central bank	B.	Commercial bank
C.	Government	D.	Stock exchange

70.

Which is a monetary measure to increase employment:

A.	Increase in govt. expenditure	B.	Reduce govt. expenditure
C.	Increase in interest rate	D.	Reducing interest rate