If Real GDP Grows by 3 Percent, the Velocity of Circulation

question 68

Multiple Choice

If real GDP grows by 3 percent, the velocity of circulation grows by 4 percent, and the quantity of money grows by 3 percent, then in the long run the inflation rate is

• A)10 percent.
• B)-4 percent.
• C)7 percent.
• D)4 percent.
• E)0 percent.

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Definitions:

High-Mach Individuals

People with a high Machiavellianism trait, who tend to be manipulative, deceitful, and pragmatic in their strategies to achieve power and control.

Low-Mach Individuals

People characterized by lower levels of Machiavellianism, displaying sincerity, lower manipulation tendencies, and a more ethical stance in interpersonal relations.

Goal-directed Behavior

actions that are performed with a specific objective or goal in mind, showing purpose and direction.

Arousing

Evoking strong feelings, emotions, or physical responses; often used in the context of excitement, alertness, or sexual interest.