Question: a. How would the budget deficit change in 2012 and 2013 if the Bank of Canada moved interest rates up? b. How would the budget

a. How would the budget deficit change in 2012 and 2013 if the Bank of Canada moved interest rates up?
b. How would the budget deficit change in 2012 and 2013 if the Bank of Canada’s monetary policy led to a rapid appreciation of the dollar?

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