An instrument used by the central bank to fix commercial and merchant banks total credit to the domestic economy is?

By: |Published on: Jan 7|Categories: Economics WAEC| 0 comments

A. monetary policy
B. fiscal policy
C. credit ceiling
D. open market operation

Correct Answer: Option C

C. credit ceiling

Explanation

Credit ceiling is one of the tools or instruments of monetary policy used by the central bank to control credit in an economy.

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