A. Under the monetary policy regime, the central bank: (a) Decides the level of M3 required for the growth of the economy (b) Ensures that there is an efficient functioning of the banking system (c)...

(a) Decides the level of M3 required for the growth of the economy

(b) Ensures that there is an efficient functioning of the banking system

(c) Influences the Government’s fiscal policy

(d) Influences the money supply in the economy based on a targeted rate of inflation

B. The following is a tool for the central bank to pursue quantitative monetarypolicy:

(a) Cash Reserve Ratio to be maintained by banks

(a) Administering the lending policies of banks

(b) Administered exchange rate system

(c) Interest rate on government sponsored savings schemes