The Truth About Money Velocity and Inflation

4 years ago
11

In this video, we look at money velocity from every angle. First, we look at the math and the assumptions built into how velocity affects prices. Then we take a look at the long-term correlation between velocity and prices to see how much weight this theory holds to the data. As you will see, it's not much.

Sources:
https://www.lynalden.com/inflation/
https://www.investopedia.com/terms/v/velocity.asp
https://fred.stlouisfed.org

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#velocity #inflation #deflation

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