Federal reserve bank has recruited the economic consulting

Reference no: EM1337465

Contemporary economic issues

A Federal Reserve Bank has hired the economic consulting firm to prepare a paper on how the use of money has changed over the past 20 years. This paper will be used to help make decisions on how to regulate the nation's banks.

In an e-mail to your manager, explain the role of technology in the evolution of how money is used by consumers. What has happened to the velocity of money because of technology? As an example, calculate the velocity of money when the price level is 10, the national quantity of output is $200 billion, and the money supply is $250 billion.

Reference no: EM1337465

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