The Federal Reserve has been quite consistently successful in keeping the inflation rate low over its entire history

Explain the long-run consequences of continued increases in the money supply

What will be an ideal response?

Holding nonmonetary assets and converting them to money when necessary is justifiable so long as

A) nonmonetary assets pay an interest rate above that available on money. B) nonmonetary assets pay an interest rate below that available on money. C) money, and not nonmonetary assets, are generally used in transactions. D) money and nonmonetary assets are both used as bartering items.