Which of the Following Statements About the Velocity of Money

question 19

Multiple Choice

Which of the following statements about the velocity of money in the U.S.is correct?

• A)From 1915 to 1947,the velocity of M1 increased.
• B)From 1947 to 1973,the velocity of M1 decreased.
• C)In the 1970s,velocity growth was extremely stable at approximately 3% to 4%.
• D)During most of this century,the velocity of money has remained unchanged.
• E)The velocity of money has decreased because of ATM machines and credit cards.

---

Definitions:

Cognitive

Concerning the cognitive functions used in gaining understanding and insight, such as cognition, recognition, recollection, evaluation, and resolving issues.

Placebo Effect

The phenomenon where an individual experiences a perceived improvement in condition due to a placebo, which they believe is an active medication.

Meta-Analysis

A statistical technique for combining the findings from independent studies to determine the overall trend or effect.

Psychosurgery

Surgical operations that change brain tissue in order to treat psychological disorders.