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Question 28 The Canadian government is successful in financing its Investing in the Middle Class Not yet Budget by issuing bonds bought only by international

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Question 28 The Canadian government is successful in financing its "Investing in the Middle Class Not yet Budget" by issuing bonds bought only by international investors. The Canadian answered government is following a flexible exchange rate policy. Which account of the Balance Marked out of of Payments(BOP) is affected? What effect on the Canadian dollar as a result of these 3.00 bond sales? Flag The account in the BOP affected is question Ocurrent account Ocapital account Oreserve account Oyour chequing account These bond sales will create a Osupply of Canadian Tire money Osupply of Canadian dollars Odemand for euro Odemand for Canadian dollars The end result for the Canadian Dollar is Oan appreciation of the dollar Oa depreciation of the dollar Ono effect at all

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