The equation of exchange states that
A) saving equals investment.
B) gross domestic product equals the money supply multiplied by its velocity.
C) increases in money supply cause decreases in velocity.
D) increases in money supply cause increases in velocity.
Answer: B) gross domestic product equals the money supply multiplied by its velocity.
Economics
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For a perfectly competitive firm, as its output increases its marginal revenue ________ and its marginal cost ________
A) changes; changes B) changes; does not change C) does not change; changes D) does not change; does not change
Economics
Whenever average output produced per worker during a specific time-period increases, then
A) leisure time increases. B) nominal GDP decreases. C) labor productivity increases. D) the standard of living goes down.
Economics