The quantity theory of money predicts that, in the long run, inflation results from the
A) money supply growing at a faster rate than real GDP.
B) velocity of money growing at a faster rate than real GDP.
C) velocity of money growing at a lower rate than real GDP.
D) money supply growing at a lower rate than real GDP.
A
You might also like to view...
The figure above shows the labor market in a region. If a minimum wage of $8 an hour is imposed, then the quantity of labor supplied is ________ and the quantity of labor demanded is ________
A) 60,000; 60,000 B) 80,000; 40,000 C) 40,000; 60,000 D) 60,000; 40,000 E) 40,000; 40,000
With overnight repos, __________ gain access to short-term funds to lend
A) corporations B) banks C) governments D) consumers
In the example of coordination problems between Google and Motorola Mobility, one method to solve the problems was
A) to undertake a merger or acquisition. B) form a joint venture. C) for one firm to subcontract with the other. D) All of the above.
Which of the following will lead to a decrease in the firm's short-run demand for labor?
A) an increase in the price of the final product B) an increase in price of the final product's substitute good C) a decline in labor productivity D) an increase in the number of buyers for the final product