The Velocity of Circulation Is

question 11

Multiple Choice

The velocity of circulation is

• A) equal to the price level multiplied by real GDP.
• B) the same as the aggregate demand curve.
• C) the average number of times a dollar bill is used in a year to buy the goods and services in GDP.
• D) increased when the Fed lowers the required reserve ratio.

---

Definitions:

Purchasing Department

A division within a business that is responsible for acquiring goods and services necessary for the organization's operations.

RFP

An acronym for Request for Proposal, a document that solicits proposals, often through a bidding process, by an agency or company interested in procurement of a commodity, service, or valuable asset.

Conciseness

The quality of being brief and to the point, eliminating unnecessary words without sacrificing clarity.

Microblogging

A form of blogging that allows users to write brief text updates (usually less than 200 characters) and publish them, either to be viewed by anyone or by a restricted audience.