Who is responsible for maintaining the Canadian Money Supply? Multiple Choice The Federal Government. The Provincial Government. The Central Bank. The Minister of Finance. Charter banks, credit unions insurance companies and investment companies

Question

Who is responsible for maintaining the Canadian Money Supply? Multiple Choice The Federal Government. The Provincial Government. The Central Bank. The Minister of Finance. Charter banks, credit unions insurance companies and investment companies

Answer 1

###C. The Central Bank

Answer 2

##Step 1: Identifying the Role of a Central Bank###Central banks are responsible for managing a nation's money supply. This is a core function of central banking globally.##Step 2: Identifying Canada's Central Bank###The Bank of Canada is Canada's central bank. While the provided knowledge summary focuses on the US Federal Reserve, the principle is the same.##Step 3: Applying the Principle to Canada###Therefore, the Bank of Canada is responsible for maintaining the Canadian money supply.#

Question

Who is responsible for maintaining the Canadian Money Supply? Multiple Choice The Federal Government. The Provincial Government. The Central Bank. The Minister of Finance. Charter banks, credit unions insurance companies and investment companies

Solution

Answer

Explanation