If the Bank of Canada Targets the Interest Rate and the Money

Multiple Choice

If the Bank of Canada targets the interest rate and the money demand curve shifts to the left, then the Bank of Canada

A) will have to abandon its interest rate target.
B) can maintain the interest rate target, but will have to sell government securities.
C) can maintain the interest rate target, but will have to buy government securities.
D) can maintain the interest rate target without buying or selling securities.
E) can maintain the interest rate target by raising reserve requirements.