Which government fiscal policy is a negative demand shock? O A. decreasing taxes O B. increasing transfer payments O C. increasing taxes O D. increasing government spending O E. none of the aboveWhat increases the supply of Canadian dollars in the foreign exchange market? 0 A. An increase in demand for imports from R.0.W. by Canadians. Q) B. The Canadian dollar is expected to appreciate next year. Q C. A decrease in demand for Canadian exports by non - Canadians. O D. U.S. interest rates fall. 0 E. None of the above. When the ination rate is 4 percent, the Bank of Canada will 0 A. sell bonds to lower interest rates and accelerate the economy. 0 B. sell bonds to raise interest rates and shift the aggregate demand curve leftward. O C. buy bonds to lower interest rates and shift the aggregate demand curve rightwar O D. do nothing, since an interest rate of 4 percent is desirable. O E. buy bonds to raise interest rates and slow down the economy