According to the Quantity Equation,the Price Level Would Change Less

question 179

Multiple Choice

According to the quantity equation,the price level would change less than proportionately with a rise in the money supply if there were also

• A)either a rise in output or a rise in the rate at which money changes hands.
• B)either a rise in output or a fall in the rate at which money changes hands.
• C)either a fall in output or a rise in the rate at which money changes hands.
• D)either a fall in output or a fall in the rate at which money changes hands.

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Definitions:

Reasonable Care Standard

A legal criterion requiring individuals to act with the level of care, vigilance, and foresight that a reasonable person would under similar circumstances, often applied in negligence cases.

Food Supplier

A business or individual that provides food products to retailers, restaurants, or directly to consumers.

Magnuson-Moss Act

A federal law enacted to protect consumers, governing warranties on consumer products to ensure transparency and fairness.

Full Warranty

is a comprehensive guarantee that a manufacturer or seller makes, promising to repair, replace, or refund a product if it fails within a specified period.