The “velocity” of money is

JAMB Economics 2023 52 views

The “velocity” of money is

  1. The money supply multiplied by the price level
  2. The real money supply divided by the real GDP
  3. The ratio of real GDP to the real money supply ✓
  4. The money supply divided by the price level

Explanation

This answer correctly explains the economic concept. Economics studies how people make choices about limited resources.

The other options describe different economic ideas or situations. They don’t fit what this question asks.

Remember this economic principle when thinking about money, trade, and how markets work.

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