If the Dollars Held for Transactions Purposes Are, on the Average

Multiple Choice

If the dollars held for transactions purposes are, on the average, spent four times a year for final goods and services, then the quantity of money people will wish to hold for transactions purposes is equal to

A) 4 percent of nominal GDP.
B) 25 percent of nominal GDP.
C) nominal GDP multiplied times 4.
D) nominal GDP divided by 25.