Quantity theory

In its simple form, the observation that if the money supply increases at the same velocity of circulation, the price of goods will rise unless the trading volume (the total quantity of goods available in a certain period) has also increased. – See money supply, money supply fetishism, inflation. – Cf. Monthly Report of the Deutsche Bundesbank of January 2005, pp. 18 ff. (long-term and short-term view), Monthly Report of the ECB of February 2014, pp. 89 ff. (relationship between money supply and inflation; overviews).

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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
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