Suppose that a rules-based monetary policy proposal specifies that the money supply will grow 3 percent each year. If velocity grows 1 percent this year and Real GDP grows 2 percent, the price level will __________ by __________ percent
A) rise; 3
B) fall; 2
C) rise; 2
D) rise; 6
E) fall; 5
C
Economics
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Indicate whether the statement is true or false
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If net exports are negative
A) net foreign investment is positive. B) capital inflows must be less than capital outflows. C) net foreign investment is also negative. D) Both A and B are correct.
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The real bills doctrine was the guiding principle for the conduct of monetary policy during the
A) 1910s. B) 1940s. C) 1950s. D) 1960s.
Economics
On May 12, 2011, it cost U.S. $.04 to buy one Russian ruble. How many Russian rubles would U.S. $1 buy?
a. 40 b. 33 c. 25 d. 14
Economics