The equation of exchange becomes the same as the quantity theory of money by assuming that the velocity of circulation when the quantity of money changes and potential GDP when the quantity of money changes.
A) changes; does not change
B) changes; changes
C) does not change; changes
D) does not change; does not change
Correct Answer:
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Q443: According to the quantity theory of money,
Q444: If V = 5, P = $3,
Q445: If real GDP is $10 trillion and
Q446: The quantity theory of money asserts that
Q447: The quantity theory of money argues that,
Q449: According to the quantity theory of money,
Q450: The quantity theory of money predicts how
Q451: Suppose that the nominal quantity of money
Q452: If M = $100, Y = $500
Q453: Other things constant, the quantity theory of
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