Friedman Argued That with a _____ Money Supply, Velocity Is

question 74

Multiple Choice

Friedman argued that with a _____ money supply, velocity is _____ that there's not much point in using monetary policy.

• A) steady increase in the; large
• B) constant; small
• C) steady increase in the; constant
• D) constant; large

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Definitions:

Equity Method Investments

Accounting technique used by a company to record its investment in another company when it has significant influence but does not have a majority control.

Cash Dividends

Payments made by a corporation to its shareholders from earnings, typically on a quarterly basis, in the form of cash.

Available-for-sale Debt Investment

Debt securities not classified as held-to-maturity or trading securities, and can be sold in the short-term for liquidity purposes.

Fair Value

The estimated market price of an asset or liability, reflecting the amount for which it could be exchanged in a current transaction between informed, willing parties.