Other things remaining the same, an increase in nominal GDP causes the velocity of money to:
a. Rise.
b. Fall.
c. Not change.
.A
You might also like to view...
Use the following table to answer the question below. Jake's Production Possibilities ScheduleJane's Production Possibilities SchedulePounds of Green BeansPounds of CornPounds of Green BeansPounds of Corn01600801012020602080404030406020400800Who has the comparative advantage in the production of green beans?
A. Jake B. Jane C. Both D. Neither
Within the framework of the Keynesian Cross model, if an economy is operating at a real GDP less than full-employment real GDP:
a. a recessionary gap exists b. an inflationary gap exists c. aggregate expenditures will rise d. the general level of prices will rise
Which of the following statements is not correct?
a. Part of the deadweight loss associated with monopoly is measured by the monopolist's economic profit. b. Marginal cost is always less than average total cost in a natural monopoly. c. Discount coupons available free to the public are a type of price discrimination. d. Anti-trust laws make it harder for firms to create synergies.
Perfect substitutes will have indifference curves which are
A. L-shaped. B. convex. C. linear (a straight line). D. concave.