Velocity,over the business cycle,tends to

Name: Velocity,over the business cycle,tends to
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Velocity tends to fall during economic contractions, when people and businesses are hesitant to spend money and instead choose to save or pay down debt. During economic expansions, velocity may rise as people and businesses are more willing to spend and invest. However, the relationship between velocity and the business cycle is not always consistent and can be affected by a variety of factors.

Velocity,over the Business Cycle,tends to