Causality is clear and mechanical with the quantity theory of money. If M increases because:
A. V and Q are variable, the price level, P, increases.
B. V and Q are variable, the price level, P, decreases.
C. V and Q are constant, the price level, P, increases.
D. V and Q are constant, the price level, P, decreases.
Answer: C
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A) 133. B) 1.33. C) 100. D) 0.75. E) 750.
Moving along the supply curve for labor, increases in the quantity of labor result from ________
A) diminishing returns to labor effort B) a rising cost of leisure C) a reduced preference for leisure D) more efficient recruitment of workers
GDP includes the value of paper clips but does not also count the value of the metal used to make them
a. True b. False Indicate whether the statement is true or false
All else equal, compared to small-budget items such as paper towels, the price elasticity of demand for big-ticket items such as refrigerators is:
A. equal. B. lower. C. higher. D. very low.