MGEA06H3 Study Guide - Final Guide: Quantitative Easing
![MGEA06H3 Full Course Notes](https://new-docs-thumbs.oneclass.com/doc_thumbnails/list_view/2309581-class-notes-ca-utsc-mgea-06h3-lecture1.jpg)
2
MGEA06H3 Full Course Notes
Verified Note
2 documents
Document Summary
According the quantity theory of money, if the monetary growth rate is 5% and the percentage change in velocity is 0%, then the inflation rate would be equal to 5%. true/false/uncertain, explain. Some argue that these changes would increase the long-run price level. true/false/uncertain, explain. During war times, cigarettes are often used as a medium of exchange in the prisoner-of-war (pow) camps because they satisfy a number of criteria for good money. Explain: on some occasions the prisoners knew in advance when the cigarette shipments were to arrive.