In Addition to Targeting the Overnight Interest Rate at the Mid-Point

question 66

Multiple Choice

In addition to targeting the overnight interest rate at the mid-point of the operating band, the Bank of Canada also targets ________.

• A) the prime rate
• B) the level of settlement balances
• C) the treasury bill rate
• D) the money multiplier

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Definitions:

Substantive Due Process

A principle allowing courts to protect certain fundamental rights from government interference, even if procedural protections are upheld.

Police Power

The inherent authority of a government to impose restrictions on private rights for the sake of public welfare, order, and security.

Jurisdiction

The official power to make legal decisions and judgments, often within a defined area of responsibility or over certain types of legal cases.

Citizenry

The collective group of citizens or inhabitants of a particular jurisdiction, often referred to in context of their rights, duties, and participation in civic life.