Problem
Between 1984 and 1985, the money supply in the United States increased to $641.0 billion from $570.3 billion, while that of Brazil increased to 106.1 billion cruzados from 24.4 billion. Over the same period, markets did not change too dramatically, how do these numbers match up with the pre-dictions of this chapter's model? How would you explain the apparently different responses of U.S. compared with Brazilian prices?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.