The velocity of money is
A) the average number of times that a dollar is spent in buying the total amount of final goods and services.
B) the ratio of the money stock to high-powered money.
C) the ratio of the money stock to interest rates.
D) the average number of times a dollar is spent in buying financial assets.
A
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Suppose the price of coffee is $6 per pound. If this price is an absolute price, what is meant by the phrase "$6 per pound"? If this price is a relative price, what is meant by the phrase "$6 per pound"?
What will be an ideal response?
Why would the market economy produce too little healthcare?
What will be an ideal response?
The United States began to report its gross domestic product (GDP) only since
A) 1900. B) 1921. C) 1931. D) 1941. E) 1991.
In a circular-flow diagram, the saving and taxation "pipes" are carrying
A) injections to firms. B) injections to households. C) leakages from firms. D) leakages from households.