Use the information below to answer the following questions.
Fact 14.1.1 Inflation Control Target Renewal
The 2016 inflation control target agreement between the Government of Canada and the Bank of Canada runs to the end of 20 Source: Bank of Canada, November 2016
-Refer to Fact 14.1.1.In the inflation control agreement, the Government of Canada and the Bank of Canada agree to all of the following except that
A) the inflation target will continue to be 2 percent.
B) if the CPI becomes too volatile, in the future the target will be defined in terms of the 12- month rate of change in the core CPI.
C) the target will continue to be defined in terms of the 12- month rate of change in the total CPI.
D) the inflation- control range is 1 percent to 3 percent a year.
E) the agreement will run until December 31, 2016.
Correct Answer:
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Q15: How is responsibility for monetary policy set
Q16: The current Governor of the Bank of
Q17: Choose the statement that is incorrect.
A)The last
Q18: 25 basis points is
A)a quarter of the
Q19: Use the information below to answer the
Q21: The bank rate is the interest rate
A)banks
Q22: The sale of government securities by the
Q23: Which of the following quotations correctly describes
Q24: The purchase of government securities by the
Q25: The policy tools used by the Bank
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