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Causality Is Clear and Mechanical with the Quantity Theory of Money

Question 93

Multiple Choice

Causality is clear and mechanical with the quantity theory of money. If M increases because:


A) V and Q are variable, the price level, P, increases.
B) V and Q are variable, the price level, P, decreases.
C) V and Q are constant, the price level, P, increases.
D) V and Q are constant, the price level, P, decreases.

Correct Answer:

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