What is the main objective of monetary policy

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Assignment:

Individual Assignment - The Bank Rate

The paper should include the following sections: main body, and references.

Go to the Bank of Canada's web site. Using information from the site related to Monetary Policy

1. What is the main objective of monetary policy?

2. Explain what is meant by the Target for the Overnight Rate and identify the current rate.

3. What do you think the Bank of Canada will do about the Target for the Overnight Rate on the next interest rate announcement date? Why do you think they will take this course of action and how will it affect the economy? Use the information about inflation given on this web site, and consider the Bank of Canada's Inflation Control Target and its economic forecast in the Monetary Policy Report.

Reference no: EM133290724

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