30. When the Bank of Canada buys government securities, exports A) increase and imports decrease, so net exports increase. B) and imports both increase, so the effect on net exports is unclear. C) decrease and imports increase, so net exports decrease. D) and imports both decrease, so the effect on net exports is unclear. E) and imports both increase, so net exports increase.
30. When the Bank of Canada buys government securities, exports A) increase and imports decrease, so net exports increase. B) and imports both increase, so the effect on net exports is unclear. C) decrease and imports increase, so net exports decrease. D) and imports both decrease, so the effect on net exports is unclear. E) and imports both increase, so net exports increase.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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30. When the Bank of Canada buys government securities, exports
A) increase and imports decrease, so net exports increase.
B) and imports both increase, so the effect on net exports is unclear.
C) decrease and imports increase, so net exports decrease.
D) and imports both decrease, so the effect on net exports is unclear.
E) and imports both increase, so net exports increase.
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