The idea that expected future increases in output cause increases in the current money supply and that expected future decreases in output cause decreases in the current money supply,rather than the other way around,is known as
A)Granger causality.
B)money neutrality.
C)nominal adjustment.
D)reverse causation.

Question

Quizplus · Accepted Answer

The idea that expected future changes in output lead to changes in the current money supply is the concept of reverse causation. The other options are not relevant to this concept.

The Idea That Expected Future Increases in Output Cause Increases