Multiple Choice
Due to the lack of timely data for the price level and economic growth, the Bank of Canada's strategy ________.
A) targets the exchange rate, since the Bank of Canada can control this variable
B) targets the price of gold, since it is closely related to economic activity
C) uses an intermediate target, such as an interest rate
D) stabilizes the consumer price index, since the Bank of Canada can control the CPI
Correct Answer:
Verified
Correct Answer:
Verified
Q11: The rate of inflation tends to remain
Q41: During the years 1979 to 1982,the Federal
Q52: In the 1975-1981 period, the Bank of
Q53: Which of the following is an advantage
Q54: Inflation targeting has the potential to reduce
Q56: Did the Great Moderation protect economies from
Q57: Why might a policy of low interest
Q58: Which of the following criteria need not
Q59: What are the disadvantages inflation targeting?
Q60: Did the financial crisis reveal that developments