In May of 1970,Canadian Authorities Abandoned Their Fixed Exchange Rate

Multiple Choice

In May of 1970,Canadian authorities abandoned their fixed exchange rate policy which had,for many years,fixed the Canadian dollar at $0.925 U.S.Within a few weeks the freely floating rate was around $0.95.Based on this information what can be deduced?

A) Canada probably had a large balance of payments deficit prior to the change.
B) Canada previously had an under-valued currency.
C) Canadians significantly decreased their rate of cross-border shopping.
D) Canada probably had a current account surplus.