If Money Is Neutral and Velocity Is Stable,an Increase in the Money

question 174

Multiple Choice

If money is neutral and velocity is stable,an increase in the money supply creates a proportional increase in

• A)real output only.
• B)nominal output only.
• C)the price level only.
• D)both the price level and nominal output.

---

Definitions:

Internal Control

Internal Control refers to the processes and procedures implemented by a company to ensure the integrity of financial and accounting information, promote accountability, and prevent fraud.

Task Responsibility

Assignment of accountability and authority to a person or team for the completion of a specific task or project component.

Segregation Of Duties

A control activity that aims to reduce the risk of errors and fraud by dividing responsibilities among different people in an organization.

Collusion

A secret agreement or cooperation among parties for a fraudulent, illegal, or deceitful purpose, especially to manipulate prices or competition in the market.