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New Classical Model
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Problem 9
New Classical Model
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24. Macroeconomic Schools of Thought / New Classical Model / Problem 9
Problem 9
How would a steady growth rule in the money supply help align the New Classical Model with the Monetarist Model?
A
It provides a predictable framework for inflation expectations.
B
It causes inflation to become unpredictable.
C
It eliminates the need for monetary policy.
D
It reduces the importance of money supply in economic models.
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