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Business, 06.07.2021 15:30 nalisas8329

In 2012 ​, an economy was at full employment. The quantity of money was growing at 8.3 percent a​ year, the nominal interest rate was 9.5 percent a​ year, real GDP grew at 5.0 percent a​ year, and the inflation rate was 3.1 percent a year. Was the velocity of circulation​ constant? [Hint: Use the quantity theory of​ money.] If the velocity of circulation was not​ constant, how did it change and why might it have​ changed?

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