When economists state that money is neutral in the long run, they mean that in the long run,
A) fluctuations in the money supply are equally likely to lead to recessions as to expansions.
B) changes in the money supply have the same impact on the rich as they do on the poor.
C) the level of output is independent of the nominal money supply.
D) the price level is independent of the nominal money supply.
Correct Answer:
Verified
Q1: Business cycles typically last
A)from several months to
Q2: Which of the following statements is correct?
A)Monetary
Q4: Business cycles have been a feature of
Q5: Business cycles
A)have existed since the Industrial Revolution,
Q6: According to the real business cycle model,
Q7: The growth rate of the money supply
A)increases
Q8: In the long run, one-time increases or
Q9: Movements in the growth rate of the
Q10: Which of the following is NOT an
Q11: The argument that changes in output cause
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