If M Stands for the Money Supply, V for the Velocity

question 79

True/False

If M stands for the money supply, V for the velocity of money, P for the average selling price, and Q for the output of goods and services, the equation of exchange is MV = PQ.

---

Definitions:

Psychoanalysis

A therapeutic approach and theory of psychology developed by Sigmund Freud, focused on unconscious motives and conflicts.

Id

A component of the psychoanalytic theory representing the instinctual drives and the source of bodily needs, wants, desires, and impulses.

Superego

A component of Freud's psychoanalytic theory referring to the moral part of the mind, which internalizes societal rules and parental standards, regulating behavior through guilt and shame.

Labeling

The process of identifying and naming an individual or group's behavior as deviant or non-normative, often leading to societal or self-stigmatization.