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Canadian Securities Course (CSC) Practice Exam · Question

What is the primary objective of the Bank of Canada's monetary policy?

The Bank of Canada's primary objective is to maintain low, stable, and predictable inflation, which contributes to sustainable economic growth and financial sta

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Question: What is the primary objective of the Bank of Canada's monetary policy?

Answer options: ✅ To keep inflation low, stable, and predictable.

  • To maximize government employment.
  • To ensure stable exchange rates for the Canadian dollar.
  • To directly control stock market prices.

Correct answer: To keep inflation low, stable, and predictable.

Explanation: The Bank of Canada's primary objective is to maintain low, stable, and predictable inflation, which contributes to sustainable economic growth and financial stability.

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