Kizspy | Question: 42 (Choose 1 answer)
(18966)Suppose real money demand is L=0.8*Y-100,000*(r + pi(e)).If the nominal money supply is 12,000, real output is 15,000, the real interest rate is 0.02, and the expected inflation rate is 0.01, then the price level is
A. 3
B. 1
C. 4/3
D. 3/4
