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In the Long Run,what Is the Most Likely Effect of a Sustained

Question 8

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In the long run,what is the most likely effect of a sustained increase in money supply growth relative to the growth rate of potential real output?


A) It will cause the real interest rate to fall.
B) It will cause the nominal interest rate to fall.
C) It will reduce the natural rate of unemployment.
D) It will increase the price level.

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