58 618
Assignments Done
Successfully Done
In March 2018
Your physics homework can be a real challenge, and the due date can be really close — feel free to use our assistance and get the desired result.
Be sure that math assignments completed by our experts will be error-free and done according to your instructions specified in the submitted order form.
Our experts will gladly share their knowledge and help you with programming homework. Keep up with the world’s newest programming trends.

Answer on Microeconomics Question for Summer

Question #33364
Assume that a country estimates its M1 money supply at $20
million. A broader measure of the money supply, M2, is $50 million.
The country’s gross domestic product is $100 million. Production or
real output for the country is 500,000 units or products.
a. Determine the velocity of money based on the M1 money
b. Determine the velocity of money based on the M2 money
c. Determine the average price for the real output.

Other checkable deposits $12 million
Expert's answer
a. We find the velosity from the Fisher's formula:
P*Q = M*V, GDP = M*V
V = M1/GDP = 20/100 = 0.2
b. V = M2/GDP = 50/100 = 0.5
c. P = GDP/Q = 100 million/500,000 = $200

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!


No comments. Be first!

Leave a comment

Ask Your question