During the 1970s, U

Multiple Choice

During the 1970s, U.S. prices rose by 7.8 percent per year and real GDP increased. Holding velocity constant and using the quantity equation, we conclude that

A) money growth must have been greater than the growth of real income.
B) money growth must have been less than the growth of real income.
C) prices fell during the 1970s.
D) output fell during the 1970s.