How would a decrease in the money supply of paraguay affect


Problem

How would a decrease in the money supply of Paraguay (currency unit is the "guaraní") affect its own output and its exchange rate with Brazil (currency unit is the "real"). Do you think this policy in Paraguay might also affect output across the border in Brazil? Explain.

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.

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Macroeconomics: How would a decrease in the money supply of paraguay affect
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