Determine the increase in money supply, Microeconomics

Is it true to say that inflation can only sustain with the increase in money supply? 

Inflation can only be sustained if there is a persistent enhance in money supply. If there is only a once-and-for-all enhances in money supply and so as the price level, it is not inflation. For instance, an increase in government expenditure. 

 

Posted Date: 8/1/2013 7:12:21 AM | Location : United States







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