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Suppose potential GDP is growing at 2% per year and velocity is stable. According to the quantity theory of money, a central bank that wants
Suppose potential GDP is growing at 2% per year and velocity is stable. According to the "quantity theory of money,\" a central bank that wants to target 2.5% ination should expand the money supply at what rate? Q 0% O 0.5% O 4.5% O 2.5% Over time, the amount of government debt can decrease and yet the debt-to-GDP ratio can increase if? 0 GDP is falling 0 None of the other options 0 GDP is rising at a rate faster than the growth rate of government debt 0 GDP is unchanged
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