Email: bbcnoun@gmail.com Whatsapp/Telegram: 08131667008 ECO342 Question: The West African Currency Board (WACB) was established in by the British Colonial Government to serve as the central bank of West African Countries Answer: 1912 Question: refers to unemployment caused by changes in individual labour markets Answer: Frictional Unemployment Question: investigates the statistical relationship between a country unemployment rate and the growth rate of its economy Answer: Okun‟s law Question: An economy is said to experience stagflation when it has both and unemployment at the same time Answer: inflation Question: is associated with the working of international gold standard and under this system, the currency is use as a gold or was convertible into gold at a fixed rate Answer: The Mint Parity Theory Question: is a theory that assert that each country should specialize in those commodities it can produce at the lower absolute cost than other countries. Answer: The theory of absolute advantage Question: is the buying of goods and services from abroad or another country to domestic economy Answer: Importation Question: is trade that take place within a nation between individuals that is exchange of goods and services between individuals within the country‟s or within two states or region Answer: Domestic trade Question: indicates that changes in inflation are influenced by the state of the economy relative to its productive capacity, as well as to other factors Answer: Phillips curve theory Question: The terms of trade are defined as the quantity of domestic goods that must be given up to get a unit of imported Answer: goods Question: The foreign exchange rate or exchange rate is the rate at which one currency is for another Answer: exchange Question: leads to mass unemployment because fall in production, prices and profits force producers and businessmen to close down their enterprises Answer: Deflation Email: bbcnoun@gmail.com Whatsapp/Telegram: 08131667008