In the quantity equation MV = PY, if V and P are constant, an increase in money supply by 10% will result in a 10% increase in real national income.

Name: In the quantity equation MV = PY, if V and P are constant, an increase in money supply by 10% will result in a 10% increase in real national income.
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If V and P are constant, an increase in money supply (M) will lead to a proportional increase in real national income (Y).

In the Quantity Equation MV = PY, If V and P