-Given a Change in Demand from D₀ to D₁ and in Supply

Multiple Choice

-Given a change in demand from D₀ to D₁ and in supply from S₀ to S₁,Canada could maintain the value of Canadian dollars in terms of pounds by:

A) shifting the supply curve farther to the right through the use of domestic expansionary policies
B) maintaining a balance-of-payments surplus
C) using official international reserves to cover the Canadian dollars shortage of cd
D) using official international reserves to cover the Canadian dollars surplus of cd
E) shifting the demand curve farther to the left through the use of contractionary policies