The fed is guilty of excessive money supply growth

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For this final question, assume what we have been assuming for the last two questions EXCEPT NOW assume that the economy is NOT at full employment, but that actual GDP is 2% below potential GDP. Under these conditions, if the money supply were to grow by 5% for the year, one might expect....[choose TWO]

>4% output growth with inflation

>4% output growth with no inflation

output growth of 4% or less

that the Fed is guilty of excessive money supply growth

that the Fed is guilty of insufficient money supply growth

Reference no: EM13834829

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