The equation of exchange states that

a. money supply multiplied by real output equals velocity.
b. velocity multiplied by money supply equals real output times the price level.
c. money supply divided by velocity equals nominal GDP.
d. money supply divided by velocity equals real GDP.


B

Economics

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Since 1950, the standard of living in the United States has:

A. decreased when measured by output per person, but increased when measured by total output. B. decreased when measured by both total output and output per person. C. increased when measured by output per person, but decreased when measured by total output. D. increased when measured by both total output and output per person.

Economics

In Keynes's liquidity preference framework, as the expected return on bonds increases (holding everything else unchanged), the expected return on money ________, causing the demand for ________ to fall

A) falls; bonds B) falls; money C) rises; bonds D) rises; money

Economics

If you invest in an "emerging market fund," your money is probably going to a commercial bank, rather than directly to nonfinancial businesses. Why? Why is that probably a good thing?

What will be an ideal response?

Economics

Your company discovers a better way to produce mousetraps, but your better methods are not apparent from the mousetraps themselves. Your knowledge of how to more efficiently produce mousetraps is

a. common technological knowledge. b. common, but not technological, knowledge. c. proprietary technological knowledge. d. proprietary, but not technological, knowledge.

Economics