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If There Were a Large and Persistent Recessionary Gap,an Appropriate

Question 94

Multiple Choice

If there were a large and persistent recessionary gap,an appropriate monetary policy could include


A) increasing the bank rate.
B) increasing the overnight lending rate.
C) decreasing reserves available to the commercial banks.
D) the Bank of Canada reducing its target for the overnight interest rate.
E) the Bank of Canada selling government securities to the public.

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