If an Increase in the Growth Rate of the Money

question 10

Multiple Choice

If an increase in the growth rate of the money supply results in an equal increase in the rate of inflation with no effect on any real variables,we say that

• A) the classical dichotomy fails.
• B) money is neutral.
• C) money is superneutral.
• D) money is the most preferred store of value.
• E) money is not neutral.

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Definitions:

Fahrenheit

A scale for measuring temperature where 32°F is the point at which water freezes and 212°F is the point at which it boils under normal atmospheric pressure.

Hypothalamus

A region of the brain that controls an enormous number of bodily functions including emotions, the autonomic nervous system, and the endocrine system.

Autonomic Nervous System

The part of the nervous system responsible for control of the bodily functions not consciously directed, such as breathing, the heartbeat, and digestive processes.

Sterilizing (Autoclave)

The process of using an autoclave to eliminate all forms of microbial life, including spores, by applying steam under pressure.