If the Bank of Canada Were to Change from an Expansionary

question 62

Multiple Choice

If the Bank of Canada were to change from an expansionary to contractionary monetary policy,this would be an example of:

• A)unsystematic risk.
• B)systematic risk.
• C)independent risk.
• D)diversification risk.
• E)unwanted risk.

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Definitions:

Habit

A settled or regular tendency or practice, especially one that is hard to give up.

Secondary Circular Reactions

A stage in Piaget's theory of cognitive development where infants repeat actions that are pleasurable or bring about a desirable outcome.

Primary Circular Reactions

Early repetitive behaviors in infants that focus on the body and are instrumental in the development of cognitive processes.

Tertiary Circular Reactions

The stage in Piaget's sensorimotor phase (usually around 12-18 months of age) where infants start experimenting with new behaviors through trial and error.