According to the assumptions of the quantity theory of money, if the money supply increases 5 percent, then
a. the price level would be unchanged and nominal gdp would rise by 5 percent.
b. both the price level and nominal gdp would be unchanged.
c. both the price level and nominal gdp would rise by 5 percent.
d. the price level would rise by 5 percent and nominal gdp would be unchanged.
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According to the assumptions of the quantity theory of money, if the money supply increases 5 percen...
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