Note: this is an unedited draft of a section from my inflation book manuscript. I wanted to avoid theoretical wrangling within my book, so I am not entirely happy about adding it. That said, money velocity shows up so often in the context of inflation that I feel that we need to cover factual statements about its determination.
Why We Cannot Measure Money Velocity Directly
Why We Cannot Measure Money Velocity Directly
Why We Cannot Measure Money Velocity Directly
Note: this is an unedited draft of a section from my inflation book manuscript. I wanted to avoid theoretical wrangling within my book, so I am not entirely happy about adding it. That said, money velocity shows up so often in the context of inflation that I feel that we need to cover factual statements about its determination.