Refer to the Figure Below to Answer the Following Questions

question 78

Multiple Choice

Refer to the figure below to answer the following questions.
Figure 9.3.1
-In Figure 9.3.1, suppose the demand for dollars temporarily decreases so that the demand curve shifts from D₀ to D₂.To maintain the target exchange rate, the Bank of Canada

• A)sells dollars.
• B)buys dollars.
• C)must violate both interest rate parity and purchasing power parity.
• D)must lower the target exchange rate.
• E)must raise the target exchange rate.

---

Definitions:

Corporate Strategy

Organizational-level decisions that focus on long-term survival.

Healthy Food Choices

Selecting foods that offer nutritional benefits, like fruits, vegetables, whole grains, and lean proteins, for a balanced diet.

Regional Food Interests

Preferences and trends in food consumption that are distinct to a particular geographical area or culture.

Non-traditional Locations

Workplaces that deviate from conventional settings, such as remote offices or flexible workspaces.