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If When the Money Supply Changes,real Output and Velocity Do

Question 71

Multiple Choice

If when the money supply changes,real output and velocity do not change,then a 2 percent increase in the money supply


A) decreases the price level by 2 percent.
B) decreases the price level by less than 2 percent.
C) increases the price level by less than 2 percent.
D) increases the price level by 2 percent.

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