The Rules-Based Monetary Policy That Some Nonactivists Have Proposed to Maintain

Multiple Choice

The rules-based monetary policy that some nonactivists have proposed to maintain price stability reads this way:

A) The annual growth rate in the money supply will equal the average annual growth rate in Real GDP minus the growth rate in velocity.
B) The annual growth rate in the money supply will equal the average annual growth rate in Real GDP plus the growth rate in velocity.
C) The annual growth rate in the money supply will equal the average annual growth rate in Real GDP divided by the growth rate in velocity.
D) The annual growth rate in the money supply will equal the average annual growth rate in Real GDP times the growth rate in velocity.