The (a) part of this question was not attempted by most of the candidates. Most of the candidates
who attempted it provided the wrong answer. However, the (b) part of the question was well
attempted by most candidates. They were able to state the effects of inflation on the business
man, civil servant and government. The (a) part of the question required candidates to state thus;
(a) Open Market Operation (OMO): This is the selling of securities to the public through the
commercial banks to reduce their lending ability during inflation. It reduces the purchasing
power of the general publ ic.
