From the behavior of the velocity of M2 during the period from the 1960s to the early 1990s, we can infer that

Question

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From the behavior of the velocity of M2 during the period from the 1960s to the early 1990s, we can infer that velocity has a tendency to rise and fall with interest rates. This means that changes in interest rates impact the velocity of M2. The statement does not indicate that velocity has steadily decreased over time or that it is always inversely related to interest rates. The statement also does not provide information about the value of velocity being highly variable but always exceeding 5. Therefore, the best choice is C.

From the Behavior of the Velocity of M2 During the Period