To Offset the Effect of Negative Growth in Money Velocity $\vec { v }$

Multiple Choice

To offset the effect of negative growth in money velocity ( $\vec { v }$ ) ,the central bank should:

A) decrease the growth rate of the money supply.
B) increase the growth rate of the money supply.
C) apply a policy that stabilizes the growth in money velocity.
D) apply a policy that reduces the growth in money velocity.