Given the equation of exchange, if V is stable, an increase in M will necessarily increase:
A. The demand for money
B. The price level
C. Nominal GDP
D. Real GDP
C. Nominal GDP
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Refer to Figure 7.1. If Angus chooses to earn the most money, he will receive a daily payoff of
A) $100. B) $350. C) $550. D) $700.
In William Safire's 1983 essay, "Smoot-Hawley Lives," he argues that the United States should
a. threaten retaliation if trading partners practice protectionism. b. pursue a unilateral free trade policy regardless of what others do. c. limit government's role in the economy.
According to the graph shown, if the market is in equilibrium, total surplus is area(s):
A. D + E. B. A + B + C + D + E. C. A + B + C. D. A.
The Latin phrase ceteris paribus means that when a relationship between two variables is being studied
A) neither of those two variables is allowed to change. B) both are treated as unpredictable. C) we recognize that some factors are unknown. D) all other variables are held fixed.