Which of the Following Statements About the Velocity of Money

question 89

Multiple Choice

Which of the following statements about the velocity of money in the United States is correct?

• A) From 1915 to 1947, the velocity of M1 increased.
• B) From 1947 to 1973, the velocity of M1 decreased.
• C) The growth in the velocity of money was steady in the 1970s.
• D) The velocity of money has remained more or less stable post-1980s.
• E) ATM machines and credit cards have increased the velocity of money.

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Definitions:

Tank and Airplane Factories

Industrial facilities specializing in the manufacturing of military vehicles and aircraft, often significant for national defense.

Air Pollution

The presence of substances in the air that are harmful to human health, the environment, or cause climate change.

Opportunity Costs

Leaving potential advantages from various options on the table by picking a particular one.

Marginal Cost

The rise in overall expenses resulting from the production of an additional unit.