Explain how the increase in the supply of money affects the real and nominal interest rates.

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Explain how the increase in the supply of money affects the realand nominal interest rates.

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All things being equal an increase in the money supply will result in lower market interest rates Conversely a decrease in the money supply will raise the market rates In the market    See Answer
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Explain how the increase in the supply of money affects the realand nominal interest rates.

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