According to the quantity theory of money, in the long run, an increase in the quantity of money does not change real GDP but does raise the price level

Indicate whether the statement is true or false

TRUE

Economics

You might also like to view...

The higher the opportunity cost of borrowing, the higher the amount of investment, other things constant

a. True b. False Indicate whether the statement is true or false

Economics

Which of the following statements is false?

A) The exchange rate is the price of one (country's) currency in terms of another (country's) currency. B) A currency has appreciated in value if more of a foreign currency is needed to buy it. C) A change in the money supply can change aggregate demand. D) A change in business taxes can change investment, which can change aggregate demand. E) none of the above

Economics