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

question 30

Multiple Choice

According to the quantity theory of money,if the velocity of money and physical output are held constant,and increase in the money supply will lead to

• A) a proportional decrease in the price level
• B) a proportional increase in the price level
• C) no change in the price level
• D) all of the above are possible outcomes

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