Explain why inflation is not an efficient tax

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Questions:

a} Describe and explain the relationship between the real rate of return of fiat money and inflation. How does a growing money supply affect inflation? ir'ou can assume the same economy as in

Problem 1. b} Explain why inflation is not an efficient tax. Support your answer with the use of budget constraints and figures. You can assume the same economy as in Problem

Reference no: EM133454382

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