According to the Assumptions of the Quantity Theory of Money,if

question 91

Multiple Choice

According to the assumptions of the quantity theory of money,if the money supply increases by 5 percent,then

• A)nominal and real GDP would rise by 5 percent.
• B)nominal GDP would rise by 5 percent;real GDP would be unchanged.
• C)nominal GDP would be unchanged;real GDP would rise by 5 percent.
• D)neither nominal GDP nor real GDP would change.

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Definitions:

Mineralocorticoids

A class of steroid hormones that regulate electrolyte and water balance by acting on the kidneys, primarily aldosterone.

PTH

Parathyroid hormone, a regulator of calcium levels in the blood.

Insulin

A substance secreted by the pancreas that controls blood sugar levels by assisting the absorption of glucose by cells.

ADH

Antidiuretic Hormone, also known as vasopressin, a hormone produced by the pituitary gland that regulates the body's retention of water by increasing the concentration of the urine.