Money demand is given by Md/P = 1000 + .2Y - 1000i.Given that P = 200, Y = 2000, and i = .10, velocity is equal to
A. 0.75.
B. 1.33.
C. 1.54.
D. 0.65.
Answer: C
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Goods that are produced this year, stored in inventories, and then sold to consumers next year
A) count in this year's GDP. B) count in next year's GDP. C) count in both this year's and next year's GDP. D) are not counted as a part of GDP.
A command system uses a group of planners or central authority to make basic economic decisions
a. True b. False Indicate whether the statement is true or false
An example of a capital resource is: a. stock in a computer software company
b. a bond issued by a company selling electric generators. c. a dump truck. d. an employee of a moving company.
Which central bank has its exchange rate as a focus of its monetary? policy?
A) Bank of Canada
B) Bank of England
C) European Central Bank
D) Federal Reserve