Question

Fisher Theory of equation of exchange is :​

Answer 1

Answer:

The equation states the fact that the actual total value of all money expenditures (MV) always equals the actual total value of all items sold (PT). Irving Fisher used the equation of exchange to develop the classical quantity theory of money, i.e., a causal relationship between the money supply and the price level.

Answer 2

question:

Fisher Theory of equation of exchange is :

Explanation:

The equation states the fact that the actual total value of all money expenditures (MV) always equals the actual total value of all items sold (PT). Irving Fisher used the equation of exchange to develop the classical quantity theory of money, i.e., a causal relationship between the money supply and the price level.