Civil Services UPSC CAPF (Assistant Commandants) Test Series 2025 General Knowledge Economy Money and Banking
Consider the following statements:
1. Velocity of money is a measurement of the rate at which money is exchanged in an economy.
2. If GDP remains constant, an increase in the money supply would result in an increase in the velocity of money.
Which of the statements given above is/are correct?
1
1 only
2
2 only
3
Both 1 and 2
4
Neither 1 nor 2