MV in the equation of exchange is also defined as

Name: MV in the equation of exchange is also defined as
Brand: Quizplus
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Question

Quizplus · Accepted Answer

MV refers to the total expenditures in the economy, which includes both consumer and investment spending. It is represented as the product of the money supply (M) and the velocity of money (V) in the equation of exchange (MV = PQ), where PQ represents the total value of goods and services produced in the economy. Therefore, the best choice is B - total expenditures.

MV in the Equation of Exchange Is Also Defined as