Multiple Choice
According to monetarists:
A) money supply directly determines changes in prices, real GDP and employment.
B) monetary policy acts too slow to cause any changes in aggregate demand.
C) monetary policy acts indirectly causing changes in interest rates but not in investment and aggregate demand.
D) monetary policy acts indirectly causing changes in interest rates first before affecting investment and aggregate demand.
Correct Answer:
Verified
Correct Answer:
Verified
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