Choose the Statement That Is Incorrect

question 6

Multiple Choice

Choose the statement that is incorrect.

• A)The Bank of Canada's choice of policy instrument is the overnight loans rate.
• B)When the Bank of Canada wants to slow inflation, it raises the overnight loans rate.
• C)The Bank has established 12 fixed dates each year on which it announces its overnight rate target for the coming period.
• D)Recently, the overnight loans rate has been at historically low levels because the Bank is leaning in the direction of avoiding recession.
• E)The overnight rate was a bit more than 8 percent a year in 1995.

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Definitions:

Gold Standard

A monetary system where a country's currency or paper money has a value directly linked to gold, ensuring stability and trust in the currency's value.

CVPs

Critical Value Points, significant markers or thresholds in a business or project that are vital for success.

Mass Market

A large group of customers with very similar needs and problems.

Toilet Paper

A soft paper product designed for personal hygiene and cleaning after using the toilet.