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The sum of the Bank of Canada's monetary liabilities and the Canadian Mint's monetary
liabilities is called ____.
A) the money supply
B) notes in circulation
C) bank reserves
D) the monetary base
Answer: D
Diff: 1 Type: MC Page Ref: 376
Skill: Recall
Objective List: 16.1 Summarize the Bank of Canada's balance sheet and the monetary base
The monetary base consists of ____.
A) notes in circulation and Canada bonds
B) notes in circulation and securities
C) notes in circulation and reserves
D) reserves and Canada bonds
Answer: C
Diff: 1 Type: MC Page Ref: 376
Skill: Recall
Objective List: 16.1 Summarize the Bank of Canada's balance sheet and the monetary base
The interest rate the Bank of Canada charges banks borrowing from the Bank is the ____.
A) overnight rate
B) Treasury bill rate
C) bank rate
D) prime rate
Answer: C
Diff: 1 Type: MC Page Ref: 377
Skill: Recall
Objective List: 16.1 Summarize the Bank of Canada's balance sheet and the monetary base
When banks borrow money from the Bank of Canada, these funds are called ____.
A) Bank funds
B) borrowed reserves
C) Bank loans
D) overnight funds
Answer: B
Diff: 1 Type: MC Page Ref: 377
Skill: Recall
Objective List: 16.1 Summarize the Bank of Canada's balance sheet and the monetary base