The equation of exchange states that:
a. government spending = taxes plus the federal budget deficit
b. the reciprocal of the reserve requirement = the deposit expansion multiplier.
c. the money supply times the velocity of money = the price level times the quantity of goods and services produced.
d. the price level times the velocity of money = the money supply times the quantity of goods and services produced.
c
Economics
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As firms reduce their stock of capital, labor demand ________ and labor supply ________
A) decreases; stays the same B) decreases; decreases C) increases; stays the same D) increases; increases
Economics
Fred enjoys smoking cigars, but his wife Wilma feels ill whenever she is around cigar smoke. Use the Coase theorem to explain how this problem could be solved without government involvement
What will be an ideal response?
Economics