In a study published in 1963,Milton Friedman and Anna Schwartz found that in every business cycle they studied over nearly a hundred-year period
A)the growth rate of the money supply decreased before output decreased.
B)interest rates decreased before output decreased.
C)the growth rate of federal government spending decreased before output decreased.
D)the growth rate of state and local government spending decreased before output decreased.

Question

Quizplus · Accepted Answer

Milton Friedman and Anna Schwartz found that in every business cycle they studied, the growth rate of the money supply decreased before output decreased. This led them to conclude that changes in the money supply were a major driver of business cycles.

In a Study Published in 1963,Milton Friedman and Anna Schwartz