If the economy is in the vertical portion of the aggregate supply curve,according to monetarists,an increase in the money supply in the long run will

Name: If the economy is in the vertical portion of the aggregate supply curve,according to monetarists,an increase in the money supply in the long run will
Brand: Quizplus
Rating: 4.8 (47 reviews)

Question

Quizplus · Accepted Answer

Monetarists believe that in the long run, an increase in the money supply will only affect the price level, not the output level. Therefore, the answer is A - Increase the price level.

If the Economy Is in the Vertical Portion of the Aggregate