The output of our economy is represented by the letter _____ in the equation of exchange.

Question

Quizplus · Accepted Answer

The output of an economy in the equation of exchange is represented by the letter Q, which stands for the quantity of goods and services produced. The equation of exchange is often expressed as MV = PQ, where M stands for the money supply, V is the velocity of money, P is the price level, and Q is the real output or quantity of goods and services produced.

The Output of Our Economy Is Represented by the Letter