The simple quantity theory of money predicts that changes in
A) the money supply lead to strictly proportional changes in the price level.
B) the money supply do not affect the price level.
C) the price level lead to strictly proportional changes in velocity and GDP.
D) velocity lead to nearly proportional changes in the money supply.
Correct Answer:
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Q26: The simple quantity theory of money assumes
Q27: Which of the following statements is true?
A)
Q28: The simple quantity theory of money predicts
Q29: One of the positions held by monetarists
Q30: The velocity of money is the _
Q32: In the equation of exchange,the average number
Q33: A change in the interest rate resulting
Q34: Monetarists can be described as a group
Q35: According to monetarists,an increase in the money
Q36: In the equation of exchange,GDP divided by
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