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If Prices Are Completely Flexible,then an Increase in Spending Growth

Question 200

Multiple Choice

If prices are completely flexible,then an increase in spending growth will lead to an immediate:


A) increase in real output growth without any change in inflation.
B) decrease in real output growth without any change in inflation.
C) decrease in inflation without any change in real output growth.
D) increase in inflation without any change in real output growth.

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