Will A permanent rise in the rate of money supply growth, by the Fisher effect, reduce equilibrium investment?

Question by Payal S: Will A permanent rise in the rate of money supply growth, by the Fisher effect, reduce equilibrium investment?
In a closed economy with perfectly flexible wages and prices a permanent rise in the rate of money supply growth will, by the Fisher effect, reduce equilibrium investment. True or false, explain.


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Answer by thelittlegmaybe you should listen a little more to the intresting work of Alwyn....

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