slides 6 - MyCourses
... Assume that flexible wages and prices are maintaining full employment, to which corresponds a certain level of real income Y, and assume the stock of money to be given for the time being, and a given V (payments technology), then the price level is proportional to the stock of money. That is, an inc ...
... Assume that flexible wages and prices are maintaining full employment, to which corresponds a certain level of real income Y, and assume the stock of money to be given for the time being, and a given V (payments technology), then the price level is proportional to the stock of money. That is, an inc ...