What is the key assumption underlying the Bank of Canada's ability to control the real interest rate?

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The Economics of Money Banking and Financial Markets

ISBN: 978-0321785701

5th Canadian edition

Authors: Frederic S. Mishkin, Apostolos Serletis

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Question Posted: Nov 09, 2018 12:37 PM

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What is the key assumption underlying the Fed's ability to control the real interest rate?
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What is the key assumption underlying the Bank of Canada's ability to control the real interest rate?

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The Bank of Canada can control the nominal overnight interest r...View the full answer

The Economics of Money Banking and Financial Markets

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