Which Monetary Policy Would Be Appropriate for Closing a Recessionary

question 119

Multiple Choice

Which monetary policy would be appropriate for closing a recessionary gap?  

• A) a tax cut 
• B) a decrease in government purchases 
• C) the sale of Canadian government securities by the Bank of Canada 
• D) the purchase of government securities by the Bank of Canada

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Definitions:

Customer List

A collection or database of customers who have previously purchased from or interacted with a business.

Fair Labor Standards Act

A United States federal law that establishes minimum wage, overtime pay eligibility, recordkeeping, and child labor standards affecting full- and part-time workers.

Minimum Wage

The lowest wage permitted by law or by a special agreement (such as one with a labor union).

Overtime Pay

Additional compensation paid to employees who work beyond the standard hours designated in their employment contract.