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In the Equation of Exchange, an Increase in M of 8

Question 89

Multiple Choice

In the equation of exchange, an increase in M of 8 percent could be accompanied by changes in velocity, the price level and real GDP of:

A) 0%, 4%, 4%.
B) 0%, 8%, 0%.
C) 0%, 0%, 8%.
D) all of the above

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