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| ''Economics''.
| | Regional Check Processing Center. |
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| A theory formalised by Irving Fisher, which links the level of prices with the amount of money in circulation.
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| It is defined as:
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| P = MV / T
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| Where:
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| :P = price level,
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| :M = amount of money in circulation,
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| :V = velocity of circulation,
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| :T = volume of transactions.
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| Monetarists believe that it is the amount of money in circulation which has the biggest effect on price levels and inflation rates.
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| == See also == | | == See also == |
| * [[Fisher's equation]] | | * [[Regional check processing center]] |
Revision as of 13:38, 6 May 2016
Regional Check Processing Center.
See also
