Question
Suppose velocity is increasing at 1% per year, the real rate of growth of the economy is 2%, the real interest rate is 3%, and
Suppose velocity is increasing at 1% per year, the real rate of growth of the economy is 2%, the real interest rate is 3%, and the rate of growth of the money supply is 4%. The nominal interest rate should be approximately:
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Economics Today
Authors: Roger LeRoy Miller
16th edition
132554615, 978-0132554619
