Multiple Choice
If actual inflation turns out to be greater than people had expected, then
A) No redistribution occurred.
B) Wealth was redistributed to lenders from borrowers.
C) The real interest rate is unaffected.
D) Wealth was redistributed to borrowers from lenders.
Correct Answer:
Verified
Correct Answer:
Verified
Q17: If the money supply is €500, real
Q18: When prices are falling, economists say that
Q19: The quantity theory of money concludes that
Q20: If the price level doubles,<br>A) The quantity
Q21: If the price level were to double,
Q24: When prices rise at an extraordinarily fast
Q25: The term hyperinflation refers to<br>A) The spread
Q26: Which of the following statements is NOT
Q27: Money demand depends on<br>A) The price level
Q153: Economists agree that increases in the money-supply