If the quantity theory of money is represented as mv = py:
a. expansionary monetary pol...
If the quantity theory of money is represented as mv = py:
a. expansionary monetary policy can be inflationary if we assume that velocity and real output y are unchanging.
b. contractionary monetary policy can be inflationary if we assume that velocity and real output y are unchanging.
c. expansionary monetary policy can be inflationary if we assume that velocity is increasing and real output y is unchanging.
d. expansionary monetary policy can be inflationary if we assume that velocity is decreasing and real output y is changing.
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