The belief that the velocity of money is not constant,but is highly predictable,is associated with the:
A)classical school.
B)Keynesian school.
C)supply-side school.
D)rational expectations school.
E)monetarist school.

Question

Quizplus · Accepted Answer

The monetarist school, led by Milton Friedman, believes that while the velocity of money is not constant, it is stable and predictable over time. This predictability is crucial for their monetary policy recommendations.

The Belief That the Velocity of Money Is Not Constant,but