According to the quantity theory of money an increase in the money su – McqOptions

MCQOPTIONS

1.	According to the quantity theory of money an increase in the money supply is most likely to lead to inflation if ?
A.	The velocity of circulation decrease
B.	The number of transaction decrease
C.	There is deflation
D.	The velocity of circulation and the number of transactions is constant
Answer» C. There is deflation

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