What Is the Effect of a Stock Market Boom, and How

question 95

Multiple Choice

What is the effect of a stock market boom, and how could the Bank of Canada offset that effect?

• A) Aggregate demand increases, which Bank of Canada could offset by increasing the money supply.
• B) Aggregate supply increases, which Bank of Canada could offset by increasing the money supply.
• C) Aggregate demand increases, which Bank of Canada could offset by decreasing the money supply.
• D) Aggregate supply increases, which Bank of Canada could offset by decreasing the money supply.

---

Definitions:

Memorization

The process of committing something to memory through repetition.

Joint Attention

Individuals focusing on the same object or event; requires the ability to track another’s behavior, one person directing another’s attention, and reciprocal interaction.

Memory Skills

The cognitive abilities that allow one to store, retain, and recall information and experiences.

Repetitive Behavior

Actions or sequences of actions that are performed repeatedly in a similar manner, often observed in various contexts including disorders like autism.