Final answer:
The demand for money is made up of transactions demand and asset demand, and it is not determined by the Bank of Canada.
Step-by-step explanation:
The correct option is d. it is made up of transactions demand and asset demand. The demand for money is determined by two components: transactions demand and asset demand.
The transactions demand for money is the demand for money to facilitate day-to-day transactions, such as buying groceries or paying bills.
The asset demand for money is the demand for money as a store of value, providing liquidity for unforeseen expenses, emergencies, or investments.
The demand for money is not determined by the Bank of Canada, real income, or the demand for income. It is a separate concept that relates to the desire of individuals and businesses to hold money for various purposes.