According to the equation of exchange, what does the quantity of money multiplied by the velocity of money equal?
A) real GDP
B) the price level
C) nominal GDP
D) the demand for money

Name: According to the equation of exchange, what does the quantity of money multiplied by the velocity of money equal? A) real GDP B) the price level C) nominal GDP D) the demand for money
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Question

According to the equation of exchange, what does the quantity of money multiplied by the velocity of money equal?  
A) real GDP 
B) the price level 
C) nominal GDP 
D) the demand for money

Quizplus · Accepted Answer

According to the equation of exchange, the quantity of money multiplied by the velocity of money equals nominal GDP.

According to the Equation of Exchange, What Does the Quantity