The U.S. historical evidence
A) generally supports the quantity theory of money in the long run.
B) does not support the quantity theory of money.
C) demonstrates that there is no correlation between the money growth rate and inflation.
D) shows that a higher inflation rate causes an increase in the money growth rate.
A
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Assume that there is an increased demand in the United States for European wines. If all other factors are held constant, this change will result in
A) an increase in the exchange rate for euros. B) an appreciation of the dollar. C) a movement along the demand curve for euros. D) a decrease in the value of the euro.
Which of the following would NOT be associated with the LATE PHASE of the product cycle?
A) Consumption in high income countries begins to exceed production. B) Increasing share of output is moving to developing countries where abundant low skilled and semi-skilled labor keep production costs low. C) Consumption continues to grow in low income countries. D) There is experimentation and improvement in design and manufacturing.