The Quantity Theory of Money Is the Idea That in the Long

Multiple Choice

The quantity theory of money is the idea that in the long run

A) the quantity of money determines real GDP.
B) the quantity of money is determined by banks.
C) an increase in the growth rate of the quantity of money leads to an equal increase in the inflation rate.
D) the quantity of money serves as a good indicator of how well money functions as a store of value.