Macro (Test 2) chapter 17 (Money Growth and Inflation)
1. The classical Theory of Inflation (level of prices and the value of money)( Money Supply, Money Demand, and Monetary Equilibrium)-GRAPH
2. The effects of a Monetary Injection and the adjustment process.
3. The classical Dichotomy and Monetary
4. Velocity and the Quantity Equation
5.The Inflation Tax and The Fisher Effect
6.The cost of inflation( A fall in purchasing power? The inflation fallacy) and (shoeleather costs) and (menu cost)
7. (Relative-Price variability and the misalloc…