(Answered) The velocity of money tends to increase when people have

Management Studies

The velocity of money tends to increase when people have (higher/Lower)money balances. Which of the following would cause an increase in the velocity of money? Check all that apply.

A long period of low inflation An increase in the rate of inflation An increase in the availability and acceptance of credit cards An increase in the availability of automatic teller machines (ATMs)

In the early 1990s, banks began offering check-writing privileges on money market mutual funds. This caused ( the velocity of M1 to increase, the velocity of money to decrease, the velocity of M2 to increase)

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