If real money balances are $1,000 billion (2021 dollars), and the government has a real seigniorage...

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If real money balances are $1,000 billion (2021 dollars), and the government has a real seigniorage target of $100 billion (2021 dollars) per year, what rate of monetary expansion is required to hit this target in the short run? (Assume the government creates the entire money stock directly and ignore the growth of the economy.) a) 1% b) 10% c) 100% d) 1000% e) This seigniorage target is unattainable with any finite monetary expansion rate. If real money balances are $1,000 billion (2021 dollars), and the government has a real seigniorage target of $100 billion (2021 dollars) per year, what rate of monetary expansion is required to hit this target in the short run? (Assume the government creates the entire money stock directly and ignore the growth of the economy.) a) 1% b) 10% c) 100% d) 1000% e) This seigniorage target is unattainable with any finite monetary expansion rate.

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