Which of the following can a country increase in the long run by increasing its money growth rate?
A)the nominal wage.
B)real output.
C)real interest rates.
D)the real wage.

Question

Quizplus · Accepted Answer

Increasing money growth rate may lead to an increase in the nominal wages in the long run due to the effect of inflation. Real output, real interest rates, and real wages may not necessarily increase as they depend on factors such as productivity growth, investment rates, and labor market conditions.

Which of the Following Can a Country Increase in the Long