Multiple Choice
The behavior of the M1 velocity of money in recent years can be explained by:
A) stability of interest rates.
B) a low and stable rate of inflation.
C) monetary policy that has been successful in stabilizing the economy.
D) financial innovation creating new substitutes for M1 money.
E) a large number of banks and savings and loan associations going bankrupt.
Correct Answer:
Verified
Correct Answer:
Verified
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