Monetary neutrality means that while real variables may change in response to changes in the money supply, nominal variables do not.

Name: Monetary neutrality means that while real variables may change in response to changes in the money supply, nominal variables do not.
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Monetary neutrality suggests that changes in the money supply only affect nominal variables (such as prices and wages) in the long run, and do not have an impact on real variables (such as real GDP, employment, and real consumption).

Monetary Neutrality Means That While Real Variables May Change in Response