According to the Monetarist View, the Impact of Expansionary Monetary

question 42

Multiple Choice

According to the Monetarist view, the impact of expansionary monetary policy will be:

• A) the same in the long run as in the short run.
• B) the same regardless of whether the effects of the policy are anticipated or unanticipated.
• C) a higher price level (inflation).
• D) a decrease in short-run prices and an increase in long-run prices.

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