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- According to the quantity theory
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Card 16 / 145: According to the quantity theory of money, a change in the money supply affects:
A)
nominal GDP in the short run but not in the long run.
B)
real GDP in the short run but not in the long run.
C)
nominal GDP in the long run but not in the short run.
D)
real GDP in the long run but not in the short run.
Answer:
B) real GDP in the short run but not in the long run.
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