What do you expect will happen to the price level and real GDP in the short run when the bank of Canada buys domestic government bonds given a positively sloped SRAS curve?

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the Bank resists the fixed-rate approach so that the monetary policy is more flexible. The 2020 schedule for the overnight rate is set on the first Wednesday of every month.

Consider this frugal governed closed economy with a money market.  Note there are no taxes in this economy. C = 100 + 0.3 Y I^d = 1500 − 1000 r G = 600 M^D = 500 − 200 r M^S = 480 The investment multiplier is 1.43.  And the level of investment is currently $1,400.  Assume that the central bank engages in open market operations which increase aggregate output/income (Y) by $100 . What is the value of the money supply after the Fed's policy is implemented? a)$475 b) $574 c) $494   d) $450