Author Question: If the monetary authorities persistently expand the money supply at a rapid rate, the probable ... (Read 77 times)

jlmhmf

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If the monetary authorities persistently expand the money supply at a rapid rate, the probable result will be:
 a. inflation.
 b. low nominal interest rates.
  c. rapid growth of real GDP.
  d. all of the above.

Question 2

We can say that the potential level of real GDP is fixed because the long-run aggregate supply curve is a vertical line.
 a. True
  b. False
  Indicate whether the statement is true or false



mjbamaung

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Answer to Question 1

a

Answer to Question 2

False



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