According to the classical money transmission mechanism, if the money supply increases, individuals will start to spend money, since they are holding excess cash and they cannot control the money supply.

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According to the classical money transmission mechanism, an increase in the money supply leads to an increase in spending, as individuals and businesses have excess cash to spend. This is based on the assumption that the velocity of money (the rate at which money changes hands) remains constant.

According to the Classical Money Transmission Mechanism, If the Money