copyright©2004 south-western 30 money growth and inflation money growth and inflation

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Copyright©2004 South-Western 30 30 Money Growth and Inflation

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Copyright©2004 South-Western

3030Money Growth

and Inflation

Copyright©2004 South-Western

Figure 1 How the Supply and Demand for Money Determine the Equilibrium Price Level

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Figure 2 An Increase in the Money Supply

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Figure 3 Nominal GDP, the Quantity of Money, and the Velocity of Money

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Figure 4a Money and Prices during Four Hyperinflations

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Figure 4b Money and Prices during Four Hyperinflations

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Figure 4c Money and Prices during Four Hyperinflations

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Figure 4d Money and Prices during Four Hyperinflations

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Figure 5 The Nominal Interest Rate and the Inflation Rate

Table 1 How Inflation Raises the Tax Burden on Saving

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