Other things constant, a fall in the inflation rate causes the velocity of money to increase
Indicate whether the statement is true or false
false
You might also like to view...
Why do the sellers of some whiskeys pay for advertisements to tell people their whiskey is extremely expensive?
A) Because the sellers either do not know or do not accept the law of demand B) To allocate the product to people who will most appreciate it C) To increase the demand D) To lower the demand and keep production costs low E) To prevent "price shock" among potential customers
Sue consumes apples and bananas. Suppose Sue's income doubles and the prices of apples and bananas do not change. Sue's budget line will
A) shift leftward and its slope will not change. B) remain unchanged. C) shift rightward and its slope will not change. D) shift rightward and become steeper.
In differentiating between the short-run and long-run elasticities for the same good, when economists talk about short-run elasticities,
a. they cannot distinguish between the two types b. there is no differentiation if it's the same good c. they are the same as long-run elasticities for the same good d. they are usually higher than long-run elasticities e. they are usually lower than long-run elasticities
Economic theory posits that a resource that is finite and being depleted will rise in price continuously and demand will be reduced. In fact, a recent study, graphing the price behavior of lead, zinc, and copper found that until about 2007,
A. prices rose steadily, as predicted. B. prices dropped precipitously. C. prices remained remarkably stable. D. prices were up and down with no discernible pattern.