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If the Velocity of Money (V) and Real Output (Q)

Question 128

Multiple Choice

If the velocity of money (V) and real output (Q) were increasing at approximately the same rate, then:​


A) ​it would be impossible for monetary authorities to control inflation.
B) ​monetary acceleration would not lead to inflation.
C) ​inflation would be closely related to the long-run rate of monetary expansion.
D) ​none of the above

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