If the money supply is $1,000,the price level is 3,and real income (or output) is $5,000,then the velocity of money is _____.

A) 0.2
B) 0.6
C) 1.67
D) 5
E) 15

Money Supply

The total amount of monetary assets available within an economy at a specific time, including cash, coins, and balances held in bank accounts.

Price Level

The broad-based average price across the spectrum of goods and services in the economy.

Real Income

Income of individuals or nations adjusted for inflation, reflecting the actual purchasing power.