In an All-Currency Economy in Which Real Output and the Real

question 95

Multiple Choice

In an all-currency economy in which real output and the real interest rate are fixed and the rates of money growth and inflation are constant,the inflation rate equals

• A)the real interest rate.
• B)the nominal interest rate.
• C)the growth rate of the nominal money supply.
• D)the level of real seignorage revenue.

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