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The velocity of money is 10, real GDP is 200 and the money supply is 100. According to the quantity theory of money, a 10

The velocity of money is 10, real GDP is 200 and the money supply is 100. According to the quantity theory of money, a 10 percent increase in the money supply causes a

Question 16 options:

10 percent decrease in average prices.

10 percent increase in average prices.

20 percent decrease in velocity.

20 percent increase in average prices.

5 percent decrease in real GDP.

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