Most monetarists would say that:
A. the MV = PQ equation provides a better understanding of the macroeconomy than does
the C a + I g + X n + G = GDP equation.
B. most changes in the price level are explainable by changes in the level of real output.
C. the velocity of money is quite unstable.
D. all of these are true.
A. the MV = PQ equation provides a better understanding of the macroeconomy than does
the C a + I g + X n + G = GDP equation.
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Which of the following can be thought of as a barrier to entry?
A) scale economies. B) patents. C) strategic actions by incumbent firms. D) all of the above
Other things constant, an increase in the real GDP of a country will: a. increase the price level
b. shift the demand for money curve rightward. c. shift the demand for money curve leftward. d. decrease the nominal interest rate. e. decrease the quantity of money demanded.