Monetary neutrality, the irrelevance of the money supply in determining values of variables, is generally thought to be a property of the economy in the long run.
A)real.
B)Nomina.
C)real and nominal.

Question

Quizplus · Accepted Answer

Monetary neutrality refers to the long-run relationship between changes in the money supply and changes in the price level, which is a real variable. Therefore, monetary neutrality is a property of the real economy in the long run, not the nominal economy.

Monetary Neutrality, the Irrelevance of the Money Supply in Determining