Examlex
Which of the following is an example of diffusion?
Quantity Theory
A theory in economics that argues the amount of money in circulation in an economy is directly proportional to the price level of goods and services.
Exchange Rate
The value of one country's currency in relation to another country's currency.
Say's Law
Say's Law, often summarized as "supply creates its own demand," is an economic theory that suggests that production is the source of demand.
Equation of Exchange
An economic formula that represents the relationship between the money supply, its velocity, the price level, and the volume of transactions in the economy.
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