The normal growth rate for Australia is approximately equal to which of the following?

Select one:

a.

2.5%

b.

3.3%

c.

1.2%

d.

6.3%

e.

5.1%

Which of the following will increase the inflation rate in the medium run?

Select one:

a.

a permanent fall in nominal money growth

b.

a large budget deficit

c.

a permanent increase in target inflation

d.

a permanent increase in the price of oil

e.

None of the above.