-Refer to Figure 8

-Refer to Figure 8.1. The vertical money supply curve M₀ reflects one of the following:

A) Bond prices and interest rates are inversely related.
B) The stock of money, which is determined by the banks and by the Bank of Canada, does not change when the interest rate changes.
C) Higher interest rates result in higher opportunity costs of supplying money.
D) Lower interest rates result in lower opportunity costs of supplying money.