In formulating its monetary policy, the Bank of Canada focuses primarily on? A) M2 B) M1⁺⁺ and M2⁺⁺ C) M1 D) M1 and M2 E) high-powered money

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The Bank of Canada primarily focuses on M1⁺⁺ and M2⁺⁺ as these measures provide a broader view of the money supply, including various types of deposits and financial instruments, which are crucial for understanding economic conditions and setting monetary policy.

In Formulating Its Monetary Policy, the Bank of Canada Focuses