Suppose That C = $900,I = $300,G = $200,NX =

Multiple Choice

Suppose that C = $900,I = $300,G = $200,NX = $100,and that the money supply is equal to $300.Based upon these assumptions,velocity is equal to ________________.If consumption and velocity both rise beyond their initial levels,then it follows that another component of spending ___________ necessarily fall.

A) 5; must
B) 5; does not
C) 3; must
D) 3; does not