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    Business
  3. Study Set
    Principles of Money Banking
  4. Exam
    Exam 27: Rational Expectations: Theory and Policy Implications
  5. Question
    Real Wages Will Rise If
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Real Wages Will Rise If

Question 3

Question 3

Multiple Choice

Real wages will rise if


A) money supply growth is less than expectations.
B) real interest rates fall.
C) aggregate demand is less than aggregate supply.
D) money supply growth exceeds the inflation rate.

Correct Answer:

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