FN Marktrapporten


Capitalism And The Coronavirus
Other research
31-03-2020

When things are tough in markets, I tend to return to the basics and this means exploring the time-tested truth of MV=PQ, where M is the money supply, V is the velocity of money, P is the general level of prices and Q the output in volume. In simple terms, the effect of the coronavirus pandemic has been to trigger a collapse in V of epic proportions.