Suppose the Bank of Canada wishes to expand the money supply directly.To do so,the Bank could

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Buying government securities on the open market would increase the amount of money in the economy, as it would provide banks with additional reserves that can be used to make loans and expand the money supply. This is known as an open market purchase and is a commonly used tool by central banks to directly expand the money supply.

Suppose the Bank of Canada Wishes to Expand the Money