In the long run, when the Fed increases the quantity of money the

A) no real variable changes.
B) price level falls.
C) real interest rate rises.
D) nominal interest rate falls.

A

Economics

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If the Fed wants to stimulate aggregate demand it should _____ bonds to _____ the money supply.

A. buy; increase B. sell; increase C. buy; decrease D. sell; decrease

Economics

If investment in Macroland increases, it is possible for the people of Macroland to increase savings and not experience a reduction in their country's national income

Indicate whether the statement is true or false

Economics