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Anastaziya [24]
2 years ago
14

the economy is currently in long-run equilibrium. if the central bank increases the money supply, in the long run the price leve

l will
Business
1 answer:
Scorpion4ik [409]2 years ago
4 0

The economy is currently in long-run equilibrium. If the central bank increases the money supply, in the long run the price level will raises.

<h3>What is long-run equilibrium?</h3>

The term “long-run equilibrium” is used in economics to represent a theoretical idea in which all markets are in equilibrium and all prices and quantities have fully adjusted to achieve equilibrium.

The long-run differs from the short-run, which has some limitations and markets that are not entirely balanced.

Currently, the economy is in long-run balance. If the central bank expands the money supply, the price level will rise in the long run.

Therefore, in the long run, the price level will raise as the central bank increases the money supply.

To learn more about the money supply, refer to:

brainly.com/question/14041873

#SPJ4

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quizlit Businesses finance their operations using a mixture of ______. debt, such as issuing bonds, and equity, such as issuing
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3 0
4 years ago
According to surveys, at work, fair treatment reflects concrete actions such as, "employees are treated with respect and _______
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3 years ago
Stacey purchased 300 shares of Coulter Industries stock and held it for 4 months before reselling it.
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The value of m is Three (3)

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The annualized return or annual return on investment s the percentage that tells you how much an investment has increased in value on average per year over a period of time.

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4 years ago
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4 0
4 years ago
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