Zippy, George and Bungle are the sole inhabitants of Teddington. Their total holdings of $150 between them constitute the only currency in circulation; this doesn’t change in any of the questions below. 7. On Monday Zippy pays George $10 for an ice cream; George buys a tricycle from Bungle for $50; Bungle buys nothing. What is the velocity of money V on Monday? 8. On Tuesday Zippy buys another ice cream from George for $10; George buys candy from Bungle for $25; Bungle buys a hat from Zippy. If the velocity of money V is equal to 0.5 on Tuesday, how much did Bungle pay Zippy for the hat? 9. The Teddington Statistical Agency calculates that the inflation rate, i.e. π = ̇P P , was 35% between Monday and Tuesday. What is the implied growth rate of Y , i.e. g = ̇Y Y , between Monday and Tuesday?
Zippy, George and Bungle are the sole inhabitants of Teddington. Their total holdings of $150 between them constitute the only currency in circulation; this doesn’t change in any of the questions below.
7. On Monday Zippy pays George $10 for an ice cream; George buys a tricycle from Bungle for $50; Bungle buys nothing. What is the velocity of money V on Monday?
8. On Tuesday Zippy buys another ice cream from George for $10; George buys candy from Bungle for $25; Bungle buys a hat from Zippy. If the velocity of money V is equal to 0.5 on Tuesday, how much did Bungle pay Zippy for the hat?
9. The Teddington Statistical Agency calculates that the inflation rate, i.e. π = ̇P P , was 35% between Monday and Tuesday. What is the implied growth rate of Y , i.e. g = ̇Y Y , between Monday and Tuesday?
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