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In the Long Run, Why Do Changes in the Money

Question 43

Multiple Choice

In the long run, why do changes in the money supply affect only the price level?  


A)  because the aggregate demand curve is vertical 
B)  because the aggregate demand curve is downward sloping 
C)  because the long-run aggregate supply curve is vertical 
D)  because the long-run aggregate supply curve is upward sloping

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