If the economy is at potential output and the Bank of Canada increases the money supply,in the short run real GDP will likely:

Name: If the economy is at potential output and the Bank of Canada increases the money supply,in the short run real GDP will likely:
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If the economy is already at potential output, increasing the money supply will lead to an increase in aggregate demand. This will result in an increase in both output and prices in the short run, leading to an increase in real GDP.

If the Economy Is at Potential Output and the Bank