Classical economists believe that... a. The economy is composed of the real sector and the monetary sector and the latter does not affect the former. O b. The money supply affects relative prices. O c. The monetary sector influences consumers' preferences and relative prices. O d. The money supply affects the allocation of resources; the real sector of the economy plays no role. е. The money supply affects income distribution; the real sector of the economy plays no role.

Classical economists believe that... a. The economy is composed of the real sector and the monetary sector and the latter does not affect the former. O b. The money supply affects relative prices. O c. The monetary sector influences consumers' preferences and relative prices. O d. The money supply affects the allocation of resources; the real sector of the economy plays no role. е. The money supply affects income distribution; the real sector of the economy plays no role.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: Money Growth And Intlation

Section: Chapter Questions

Problem 6CQQ

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