3 ms·
The concept is called velocity of money/circulation. It's actually taught in econ 101. It's distinct from money supply. For example you can have increasing supp
by pram 5y ago
The concept is called velocity of money/circulation. It's actually taught in econ 101. It's distinct from money supply. For example you can have increasing supply and stable/declining velocity if no one is circulating it, so there being more money doesn't necessarily mean inflation in those conditions.