monetary neutrality

monetary neutrality definition - business

monetary neutrality

The theory developed by classical economists that changes in the money supply have no impact on output or real interest rates. Rather, changes influence the level of price inflation.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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