On the text Web site, examine (1) the behavior of the U S Canada exchange rate over 2005 2007 and (2) the interest rate targets chosen by the Bank of Canada over the same period a Over 2005 2007, did the Bank of Canada respond to movements in the exchange rate in the manner described in the Case Study in Section 17 1 b Economists attribute changes in Canadas exchange rate over 2005 2007 to increases in the prices of commodities that Canada exports, including oil and metals Does this help explain the answer to part (a)

Question: On the text Web site, examine (1) the behavior of the U.S.-Canada exchange rate over 2005-2007 and (2) the interest-rate targets chosen by the Bank

On the text Web site, examine (1) the behavior of the U.S.-Canada over 2005-2007 and (2) the interest-rate targets chosen by the Bank of Canada over the same period.
a. Over 2005-2007, did the Bank of Canada respond to movements in the in the manner described in the Case Study in Section 17.1?
b. Economists attribute changes in Canada’s over 2005-2007 to increases in the prices of commodities that Canada exports, including oil and metals. Does this help explain the answer to part (a)?

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