Author Question: If the money prices of resources changes, the LAS curve shifts. Indicate whether the statement is ... (Read 35 times)

craiczarry · **on:** Jun 29, 2018

If the money prices of resources changes, the LAS curve shifts.

Indicate whether the statement is true or false

Question 2

The table below shows data for Brazil.

2006 2007
Real GDP growth rate 3.8 5.4
Inflation rate 4.2 3.7

Assuming the rate of velocity change is constant
A) the growth rate of money increased between 2006 and 2007.
B) the money growth rate was -0.4 percent in 2006.
C) the growth rate of nominal GDP was 1.7 percent in 2006.
D) the demand for money curve shifted leftward in 2006.