Relationship between the inflation rate and m3

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1. Go to sdw.ecb.europa.eu and select "Monetary Aggregate M3." What is M3? What has happened to M3 in the Eurozone since 2008?

2. Go to sdw.ecb.europa.eu and select "Inflation Rate (HICP) and M3." Is there a relationship between the inflation rate and M3? What does the quantity theory of money discussed in Chapter 2 say the relationship should be?

3. Go to sdw.ecb.europa.eu and select "Government Debt (as a % of GDP)." What is the current Eurozone debt/GDP ratio? What is the deficit/GDP ratio?

Reference no: EM131303147

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