The major difference between the quantity theory of money (QTM) and the equation of exchange (EOE) is:

a. QTM deals with different macroeconomic variables than EOE.
b. EOE is a tautology and QTM is a theory.
c. EOE is a theory, and QTM is a tautology.
d. There is no difference between QTM and EOE. They are both basically looking at the same variables in the same way. One approach is monetarist and the other is Keynesian.
e. EOE is a stock concept, and QTM is a flow concept.


.B

Economics

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Economics