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

question 51

Multiple Choice

In 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.

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Definitions:

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Advanced stage of human social development and organization characterized by urban development, social stratification, and the use of written or recorded communication.

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An American political scientist known for his "Clash of Civilizations" theory, positing that future conflicts would be culturally based.

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