Here is further information on the U.S. and Pugelovian economies

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QUESTION:

Here is further information on the U.S. and Pugelovian economies.

a. What is the value of k for the United States in 1975? For Pugelovia?

b. Show that the change in price level from 1975 to 2008 for each country is consistent with the quantity theory of money with a constant k.


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