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Suppose the fed doubles the growth rate of the quantity of money in the economy. In the long run, the increase in money growth will change which of the following? check all that apply.

Respuesta :

In the long run, the increase in money growth will change price levels and inflation.

What is money neutrality?

Money neutrality is an economic theory that changes in money supply do not affect real variables but only affect nominal variables. As a result, monetary policy is neutral in the long-run and affects real variables in the short-run.

Here are the options: (A) The price level. (B) The level of technological knowledge. (C) The quantity of physical capital. (D) The inflation rate.

To learn more about money neutrality, please check: https://brainly.com/question/16245225

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