Business, 19.03.2020 21:39 xxxamslashxxx9
In the kingdom of Guttenberg, they’ve decided it’s a good idea to use more currency bills so as to give work to the printing industry. Hence, overnight there is an announcement that every price will increase by a factor of 2: things that were $1 are now $2 and things that were $10 are now $20. Which of the following will change?
1. Output, Y
2. The real wage rate
3. The interest rate
4. The price level P
5. The nominal rental rate of capital R
Answers: 2
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In the kingdom of Guttenberg, they’ve decided it’s a good idea to use more currency bills so as to g...
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