Which One of the Following Statements Is the Most Accurate

question 104

Multiple Choice

Which one of the following statements is the most accurate?

• A) A permanent increase in the money supply cannot have any short-run effects.
• B) A permanent increase in taxes cannot have any short-run effects.
• C) A permanent decrease in the money supply cannot have short-run effects.
• D) A permanent decrease in taxes cannot have short-run effects.
• E) A permanent increase in money demand can be offset with a permanent increase in the money supply of equal magnitude.

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Definitions:

Psychological Traits

Enduring characteristics or behaviors that define an individual's personality.

Physical Traits

Observable characteristics of an organism, such as hair color, body shape, and other features determined by genes.

Human Body

The physical structure of a person, including all organs, tissues, and cells.

Chromosomes

Structures within cells that contain DNA and carry genetic information necessary for reproduction, growth, and maintenance of organisms.