The laws governing the activity of the Bank of Canada give some specific recommendations about what goals it should pursue, so it has little discretion in making policy.

Question

Quizplus · Accepted Answer

While the laws governing the Bank of Canada do provide some guidance on its goals, it still retains a significant amount of discretion in making policy decisions. The Bank sets its own inflation target and has flexibility in deciding how to achieve it.

The Laws Governing the Activity of the Bank of Canada