the economics of money, banking, and financial markets

(Sean Pound) #1
509 #
© 2014 Pearson Canada Inc.#



  1. The Automated Clearing Settlement System (ACSS) ____.
    A) was introduced on February 4, 1999
    B) is an electronic net settlement network designed to provide settlement to wholesale
    transactions
    C) aggregates interbank payments and informs the Bank of Canada of the net amounts to be
    transferred from and to each participant's settlement account with the Bank of Canada
    D) Only A and B of the above.
    Answer: C
    Diff: 1 Type: MC Page Ref: 405
    Skill: Recall
    Objective List: 17.1 Characterize the framework for the implementation of monetary policy in
    Canada




  2. The overnight market in Canada is ____ with a ____ range of participants.
    A) very liquid; broad
    B) very liquid; narrow
    C) not very liquid; broad
    D) not very liquid; narrow
    Answer: A
    Diff: 2 Type: MC Page Ref: 405
    Skill: Recall
    Objective List: 17.1 Characterize the framework for the implementation of monetary policy in
    Canada




  3. The overnight interest rate is also known as the ____.
    A) the bank rate
    B) the policy rate
    C) reference rate
    D) the growth rate of M2
    Answer: C
    Diff: 1 Type: MC Page Ref: 405
    Skill: Recall
    Objective List: 17.1 Characterize the framework for the implementation of monetary policy in
    Canada




  4. The target for the overnight interest rate is also known as the ____.
    A) the bank rate
    B) the policy rate
    C) reference rate
    D) the growth rate of M2
    Answer: B
    Diff: 1 Type: MC Page Ref: 405
    Skill: Recall
    Objective List: 17.1 Characterize the framework for the implementation of monetary policy in
    Canada



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