Question: M/P = 3000 + 0.1 10,000 Assume that M = 6000, P=2 and expected inflation e = 0.02 or 2% note nominal interest rates i

M/P = 3000 + 0.1 10,000 Assume that M = 6000, P=2 and expected inflation e = 0.02 or 2% note nominal interest rates i is equal to real interest rate plus expected inflation

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