From the equation of exchange, if both nominal income and the quantity
From the equation of exchange, if both nominal income and the quantity of money (M) have tripled, while the price level (P) has increased by 50 percent and velocity (V) remains constant, then real output (Y) ________.
A) also triples
B) increases by 50 percent
C) doubles
D) decreases by 50 percent
E) none of the above
ANSWER
C
Expert paper writers are just a few clicks away
Place an order in 3 easy steps. Takes less than 5 mins.