1经济学十大原理.pptVIP

* “Rich countries” refers to countries like the U.S., Japan, and Germany. “Poor countries” refers to countries like India, Indonesia, and Nigeria. * While the long-run effect of increasing the quantity of money is inflation, the short-run effects are more complicated - and controversial. However, most mainstream economists believe the following: An increase in the quantity of money causes spending to rise, which causes prices to rise, which induces firms to produce more goods and services, which requires that they hire more workers. Hence, in the short-run, increasing the quantity of mon