3 ms·
Assets have been inflating. Velocity of money is a measure of economic activity. If Q is the GDP and constant, prices will go up if economic activity goes up.
by GizmoSwan 6y ago
Assets have been inflating.
Velocity of money is a measure of economic activity. If Q is the GDP and constant, prices will go up if economic activity goes up. So only if economic activity does not pick up, will the prices not go up.