17.which of the following variables is considered constant in the long run in quantity theory of money?  A. Money supply  B. Price level  C. Velocity of money  D. Interest rates

According to the quantity equation, if velocity and real GDP are constant and the Reserve Bank increases the money supply by 5%, then the price level:Group of answer choicesis also constantdecreases by 10%increases by 5%decreases by 5%

Which of the following statements is true about velocity?Question 42Select one:a.In the short run, velocity varies but in the long run, velocity is relatively constant.b.In the short run, velocity is relatively constant but in the long run, velocity varies.c.Velocity is relatively constant in the short run and in the long run.d.Velocity fluctuates with fluctuations in economic activity and changes in the growth rate of money supply.

When the demand for money parameter, k, is large, the velocity of money is ___ and money is changing hands ___.A.large; frequently B.large; infrequently C.small; frequently D.small; infrequently

The simple quantity theory of money predicts the changes in Group of answer choicesthe money supply lead to proportional changes in the price level.the money supply do not affect the price level.the price level lead to proportional changes in velocity and GDP.velocity lead to proportional changes in the money supply.

Equilibrium between the quantity of money demanded and the quantity of money supplied determines the quantity of money and the ______ rate.Multiple choice question.interesttaxinflationeconomic growth