The relationship between the velocity of money and interest rates is:

A. negative and stable.
B. negative but not stable.
C. positive but not stable.
D. positive and stable.

Answer: C

Economics

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Suppose TC = 10 + (0.1 ? q2). If there are 100 identical firms in the market, the market supply curve is

A) Q = 1000 ? p. B) Q = 500 ? p. C) Q = 100 ? p. D) Q = 10.

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What are the effects of a tariff, and who benefits and who loses when tariffs are imposed? What are the effects of a quota, and who benefits and who loses when quotas are imposed?

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