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Author Question: The capital stock of an economy increases: a. whenever money in circulation is decreased. b. ... (Read 12 times)

Anajune7

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on: Jun 30, 2018
The capital stock of an economy increases:
 a. whenever money in circulation is decreased.
  b. whenever gross investment is positive.
 c. whenever gross investment is negative.
 d. only if net investment is positive.
 e. only if gross investment is zero.

Question 2

If the money supply in an economy equals 1,000 and nominal GDP equals 3,000 . then according to the equation of exchange, velocity of money:
 a. equals 1/3.
 b. equals 3.
 c. equals 3 million.
 d. cannot be determined since we do not know anything about prices.
  e. cannot be determined since we do not know anything about real GDP.


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nhea

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Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

b


Anajune7

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Reply 2 on: Jun 30, 2018
Excellent

bimper21

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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