Of the three players in the money supply process, most observers agree that the most important player is ________.

Question

Quizplus · Accepted Answer

The Bank of Canada is considered the most important player in the money supply process because it has direct control over the monetary base, which is the foundation for the money supply. The Department of Finance and Canada Customs and Revenue Agency may have some influence over the money supply through fiscal policy and tax collection, but they do not have direct control over the monetary base. The House of Parliament also plays a role in shaping fiscal and monetary policy, but it does not directly control the money supply.

Of the Three Players in the Money Supply Process, Most