According to crude versions of the quantity theory of money
A) the money supply determines the real interest rate in equilibrium.
B) the general price level is determined strictly by the real costs of production.
C) the general price level is exactly proportional to the money supply in equilibrium.
D) increases in the money supply will increase output and employment in the long run.
Correct Answer:
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Q25: Non-interventionists include all of the following,except
A)new classical
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Q27: Which of the following is NOT a
Q28: A key issue in the present disagreement
Q29: Q31: The _ hypothesis is based on the Q32: The new classical economists are the Q33: Milton Friedman and others,citing imperfections and mistakes Q34: One major assumption of the theory of Q35: Supply-side economists believe that,in general,
A)Keynesians.
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C)supply-siders.
D)rational
A)by raising tax
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