The Velocity of Money Is

question 152

Multiple Choice

The velocity of money is

• A)the rate at which the Fed puts money into the economy.
• B)the same thing as the long-term growth rate of the money supply.
• C)the money supply divided by nominal GDP.
• D)the average number of times per year a dollar is spent.

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Definitions:

Conservation

The act of preserving, protecting, or restoring the natural environment, resources, and biodiversity for future generations.

User Cost

The opportunity cost of extracting and selling a non-renewable natural resource today rather than waiting to extract and sell the resource in the future; the present value of the decline in future revenue that will occur because a nonrenewable natural resource is extracted and sold today rather than being extracted and sold in the future.

Extraction Cost

All costs associated with extracting a natural resource and readying it for sale.

Quantity of Gold Bars

The total number or weight of gold bars held or transacted.