Figure 81: Money Growth and Inflation in the United States by by Decade

Multiple Choice

Figure 8.1: Money Growth and Inflation in the United States by Decade
-The data presented in Figure 8.1 confirm that the relationship between inflation and money growth is ________, as suggested by ________.

A) positive; the Fisher equation
B) positive; money neutrality
C) positive; the quantity theory of money
D) negative; the quantity theory of money
E) None of these answers is correct.