The Quantity Theory States That the Nominal GDP Is Equal

question 30

Multiple Choice

The quantity theory states that the nominal GDP is equal to:

• A) the real GDP.
• B) the number of dollars in circulation.
• C) the velocity of money.
• D) the effective amount of money used in purchases.
• E) velocity times real GDP.

---

Definitions:

Lowercase Letters

The smaller form of letters in the alphabet used in writing and printing, as opposed to capital letters.

Syntax

The set of rules that defines the combinations of symbols that are considered to be a correctly structured document or fragment in a given language.

Custom Function

A user-defined operation in software that performs specific calculations or actions not built-in by default.

Access Module

A component or software tool that provides a way to retrieve and manage data from a database or information system.