How Will a Monetary Injection by the Bank of Canada

question 31

Multiple Choice

How will a monetary injection by the Bank of Canada affect interest rates and aggregate demand?  

• A) Interest rates will increase, and aggregate demand will decrease. 
• B) Interest rates will increase, and aggregate demand will increase. 
• C) Interest rates will decrease, and aggregate demand will decrease. 
• D) Interest rates will decrease, and aggregate demand will increase.

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