(Solved): 2. (Let P stand for the price level.) According to the Classical Quantity Theory of Money (with fix ...

2. (Let P stand for the price level.) According to the Classical Quantity Theory of Money (with fixed velocity. V, and fixed output level (in equilibrium), Q, in the short run). none of the other options. an x% increase in the money supply, Ms, will not change P. an x% increase in the money supply will cause a greater-than-x% increase in P. O an x% increase in the money supply will cause an x% increase in P. an x% increase in the money supply will cause a smaller than-x% increase in P.