Need help, and please explain the right answer.

Suppose the Canadian economy experiences a boom. The Bank of Canada decreases liquidity in the banking system. If the Bank does not reverse its policy as the economy recovers, it should expect to see O A. a permanent reduction in the interest rate. O B. permanently lower exchange rates for the Canadian dollar. O C. shorter time lags in monetary policy. O D. lower inflation in the long run. O E. permanently lower unemployment