Which of the Following Statements Describes an Important Limitation of Monetary

question 11

Multiple Choice

Which of the following statements describes an important limitation of monetary policy?

• A)When the Bank of Canada tries to buy bonds, it is often unable to find a seller.
• B)It must be conducted through the chartered banking system, and the Bank of Canada cannot always make banks do what it wants them to do.
• C)When the Bank of Canada tries to sell bonds, it is often unable to find a buyer.
• D)It is conducted by people in Parliament who are under pressure to get re-elected.

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Definitions:

Business Plan

A detailed document outlining the strategy, objectives, and financial projections of a business, used for planning and seeking investment.

Competition

The rivalry among businesses for consumers’ dollars.