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  3. Study Set
    Intermediate Macroeconomics
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    Exam 16: Money and Business Cycles I: the Price-Misperceptions Model
  5. Question
    An Increase in the Money Supply
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An Increase in the Money Supply

Question 57

Question 57

Multiple Choice

An increase in the money supply:


A) can not affect real variables temporarily in the short run.
B) can affect real variables in the long run.
C) can affect nominal variables in the long run.
D) all of the above.

Correct Answer:

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