Which of the following will lead to a decrease in the equilibrium interest rate in the economy?
A) an increase in the price level
B) a sale of government of Canada securities by the Bank of Canada
C) a decrease in GDP
D) an increase in the discount rate
E) an increase in the reserve requirement
Correct Answer:
Verified
Q20: The goals of monetary policy tend to
Q21: An increase in the price level causes
A)the
Q22: The Bank of Canada can directly affect
Q23: An increase in real GDP can shift
A)money
Q24: The money demand curve has a
A)negative slope
Q26: Maintaining a strong dollar in international currency
Q27: When the Bank of Canada decreases the
Q28: An increase in the demand for government
Q29: Figure 11.1 Q30: Using the money demand and money supply![]()
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