Both Increases in the Price Level and Increases in Real

question 78

True/False

Both increases in the price level and increases in real GDP will decrease the demand for money.

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Definitions:

Necessary and Proper

A clause in the U.S. Constitution granting Congress the power to pass all laws deemed necessary and proper for carrying out its enumerated powers.

XYZ Affair

A diplomatic incident between France and the United States in 1797-98, which led to an undeclared naval war, caused by French demands for bribes from American negotiators.

Domestic Political Ramifications

The consequences or effects on a country's internal politics resulting from specific actions, policies, or events.

Republic's Ideology

A set of beliefs and values that emphasizes the welfare of the community over individual interests, supporting a form of government where power resides in elected individuals representing the citizen body.