In the New Keynesian Approach, an Increase in the Nominal

question 9

Multiple Choice

In the new Keynesian approach, an increase in the nominal money supply

• A)raises real balances in the short run but not in the long run.
• B)raises real balances in the long run but not in the short run.
• C)raises real balances in both the short and long runs.
• D)does not raise real balances in either the short or long runs.

---

Definitions:

Social Responsibility

The ethical framework that an individual or organization should act in a way that benefits society at large.

Pay

Compensation or salary received by an employee in exchange for their labor or services provided to an employer.

Learning Opportunities

Situations or programs designed to facilitate the acquisition of knowledge, skills, and competencies in a specific area of interest.

Employee Hotline

A dedicated phone line or communication service set up by organizations for employees to report grievances, seek help, or provide anonymous feedback.