Which of the Following Is Not a Tool the Bank

question 159

Multiple Choice

Which of the following is not a tool the Bank of Canada uses to manage the money supply?

• A)purchase and resale agreements
• B)setting the overnight rate
• C)setting reserve requirements for deposits in the banking system
• D)sale and repurchase agreements
• E)lending to commercial banks

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Definitions:

Excess Funds

Refers to the amount of money available beyond what is necessary to cover expenses or requirements.

General Fund

The primary operating fund of a government or organization that accounts for all financial resources, except those required to be accounted for in another fund.

Crowdfunding Platform

Online platforms that allow individuals and businesses to fundraise for projects or ventures from a large number of people.

Science-Related Projects

Initiatives or works that are grounded in scientific principles or focus on the exploration of scientific fields.