The average number of times a dollar of money is used for transactions over the course of a year is referred to as the
A)money multiplier.
B)velocity of money.
C)money growth rate.
D)extent of exchange.

Question

Quizplus · Accepted Answer

The average number of times a dollar of money is used for transactions over the course of a year is called the velocity of money. This measure reflects the frequency with which money changes hands within the economy and is an important determinant of overall economic activity.

The Average Number of Times a Dollar of Money Is