Which of the Following Statements Are True of the Bank

question 70

Multiple Choice

Which of the following statements are true of the Bank of England?

• A) The Bank of England was established in 1894.
• B) Until 1997, the decision to raise or lower interest rates resided not with the Bank of England but with the chancellor of the Exchequer.
• C) The government can overrule the Bank and set rates "in extreme economic circumstances" and "for a limited period."
• D) B and C only.

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Definitions:

Expanded Markets

Markets that have grown in size or scope, allowing for increased business opportunities and consumer choices.

Constitution

The fundamental principles or established precedents according to which a state or other organization is governed.

Territory

An area of land under the jurisdiction of a ruler or state, often denoting non-state regions with a degree of autonomy.

State

A political entity with a defined territory, government, and the capacity to enter into relations with other states.