If Canada Is in a Recessionary Gap,the Appropriate Policy Is

question 111

Multiple Choice

If Canada is in a recessionary gap,the appropriate policy is to _____ the money supply to _____ interest rates.

• A) increase;increase
• B) increase;decrease
• C) decrease;increase
• D) decrease;decrease

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Definitions:

Regulations

Rules made by a government or regulatory body to control certain activities or behaviors.

Stare Decisis

A legal principle that obligates courts to follow historical cases when making a ruling on a similar current or future case.

Precedent

A court decision that furnishes authority for deciding later cases in which similar facts are presented.

Statutory Law

Law enacted by a legislative body, forming a codified set of rules that are legally enforceable.