The velocity of circulation grows at 1 percent and real GDP grows at 3 percent. If the quantity of money grows at 4 percent, the inflation rate is

A) 8 percent. B) 4 percent. C) zero. D) 2 percent. E) 10 percent.

D

Economics

You might also like to view...

When the power company decides to use manpower to bury its lines, it directly answers the ________ question

A) what B) for whom C) how D) why E) when

Economics

The winner of a second-price sealed-bid auction pays an amount equal to ________

A) half of his bid B) the lowest bid C) the second-highest bid D) his valuation of the good

Economics