In the Long-Run Equilibrium, After a Permanent Money-Supply Increase There

question 95

Multiple Choice

In the long-run equilibrium, after a permanent money-supply increase there follows:

• A) an increase in exchange rate, E.
• B) a decrease in exchange rate, E.
• C) an increase in output, Y.
• D) a decrease in output, Y.
• E) an unchanged exchange rate, E.