Lower money growth tends to cause
A) higher nominal interest rates (i) in the medium run and no change in real interest rates (r) in the medium run.
B) no change in i in the medium run and an increase in r in the medium run.
C) an increase in i in the medium run and no change in r in the medium run.
D) a reduction in i in the medium run and no change in r in the medium run.
Correct Answer:
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