In the Friedman-Lucas money surprise model, a surprise increase in money supply growth
A) has no effect on inflation.
B) increases inflation less than in proportion to the growth rate of the money supply.
C) increases inflation in an equal proportion to the growth rate of the money supply.
D) increases inflation more than in proportion to the growth rate of the money supply.
B
Economics
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Why is price inflation sometimes good in a recession?
A. Price inflation makes it harder for real wages to fall. B. Price inflation makes it harder for real wages to rise. C. Price inflation makes it easier for real wages to rise. D. Price inflation makes it easier for real wages to fall.
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Money is considered to be a factor of production.
a. true b. false
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