Question
During the years from 2010 to 2014, the average annualgrowth rate of M1 was 10.3 percent, while the inflationrate as measured by the GDP deflator
During the years from 2010 to 2014, the average annualgrowth rate of M1 was 10.3 percent, while the inflationrate as measured by the GDP deflator averaged 1.5 percent.Are these values consistent with the quantity equation? Ifyou would need additional information to answer, statewhat the information is. Are the values consistent with thequantity theory of money? Briefly explain.
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Economics
Authors: R. Glenn Hubbard
6th edition
978-0134797731, 134797736, 978-0134106243
