The channel/corridor system for setting interest rates ________.
A) is not appropriate for Canadian monetary policy
B) limits the amount banks can borrow from the central bank
C) enables the central bank to set the overnight, policy rate
D) is being phased out as a monetary policy tool

Question

Quizplus · Accepted Answer

The channel/corridor system enables the central bank to set the overnight, policy rate.

The Channel/corridor System for Setting Interest Rates ________