Which of the following does not affect the size of the monetary base?
A)the amount of notes issued by the Bank of Canada
B)the amount of loans issued by chartered banks
C)the amount of coins issued by the Canadian Mint
D)the amount of chartered bank deposits at the Bank of Canada
E)none of the above

Question

Quizplus · Accepted Answer

The size of the monetary base is determined by the amount of currency (notes and coins) in circulation plus deposits held by commercial banks at the central bank. Loans issued by chartered banks do not directly affect the size of the monetary base.

Which of the Following Does Not Affect the Size of the Monetary