Which of the Following Is a Sterilization Operation That Supports

question 78

Multiple Choice

Which of the following is a sterilization operation that supports the Canadian dollar?

• A) The Bank of Canada sells U.S. dollars and buys government bonds.
• B) The Bank of Canada buys U.S. dollars and sells government bonds.
• C) The Bank of Canada sells both U.S. dollars and government bonds.
• D) The Bank of Canada buys both U.S. dollars and government bonds.

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Definitions:

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