It Has Been Shown That Increases in the Money Supply

question 96

Multiple Choice

It has been shown that increases in the money supply are directly related to the rate of inflation.If the previous statement is true,then

• A) nations that increase their money supplies most rapidly will be the most prosperous.
• B) hyperinflation will normally be associated with large increases in the money supply.
• C) hyperinflation will normally be associated with large decreases in the money supply.
• D) menu costs will rise when the money supply falls.
• E) real wages rise whenever the money supply increases.

---

Definitions:

Email Signature

A block of text automatically appended at the end of an email message that often contains the sender's name, contact information, and sometimes a quote or a company’s logo.

Email Provider

A service or company that offers email services, facilitating sending, receiving, and managing electronic mail messages.

Reminder

A tool or feature in an application that alerts the user to perform a predetermined task or remember an event at a specified time.

Hyperlinks

Elements in electronic documents that link to other sections of the same document or to entirely different documents or websites, typically activated by clicking.