Suppose the Bank of Canada Wants to Stimulate the Economy

question 24

Multiple Choice

Suppose the Bank of Canada wants to stimulate the economy.Which of the following strategies might the Bank use?  

• A) buy bonds to lower the money supply 
• B) sell bonds to lower the money supply 
• C) raise the bank rate to increase the money supply 
• D) lower the bank rate to increase the money supply

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Definitions:

Ability or Personality

Ability or personality refers to the inherent talents or traits that influence an individual's performance and how they interact within a team or organization.

Conscious Evaluation

The deliberate and mindful assessment of ideas, options, or decisions based on criteria and judgment.

Experimentation

The systematic investigation into and study of materials and sources to establish facts and reach new conclusions.

Non-conformity

Behaviors or actions that do not comply with prevailing norms, expectations, or standards, often viewed in the context of individualism and innovation.