Question: If velocity were constant at 2 while M2 rose from $6 trillion to $9 trillion in a single year, what would happen to nominal GDP?

If velocity were constant at 2 while M2 rose from $6 trillion to $9 trillion in a single year, what would happen to nominal GDP? If real GDP rose 2 percent, what would be the level of inflation?

Instructions: Round your answers to whole numbers.

Nominal GDP would rise by percent.

Inflation would equal percent.

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