Multiple Choice
The long-run link between money growth and the inflation rate is not precise since
A) variations in output do not affect real money demand
B) interest rate changes don't affect the cost of holding real money balances or the desired ratio of income to money
C) money demand tends to shift over time as a result of financial innovation
D) the income velocity of money has steadily declined over the last three decades
E) all of the above
Correct Answer:
Verified
Correct Answer:
Verified
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