-
I will concede that P does not necessarily increase if V does, but that P tends to rise all other things being equal, due to demand rising. This must be the case. If demand rises, P must tend to rise also. Other factors may negate the actual rise in P, but none the less, the tendancy is there. [quote...
-
[quote user="leonidia"] "The velocity of exchange" has nothing to do with it. It's not even a valid concept. [/quote] I disagree. Velocity is a valid reason for price inflation and one of the problems with artifically low interest rates. When consumers save less due to insufficient...