In 2010, the money supply, M1, was $1,832 billion. Nominal GDP was $14,660 billion. a. What was

Question:

In 2010, the money supply, M1, was $1,832 billion.
Nominal GDP was $14,660 billion.
a. What was the velocity of money measured using M1?
b. In 2010, M2 was $8,816 billion. What was the velocity of money measured using M2?
c. Why are these measures of velocity different? Source: Federal Reserve Bank of St. Louis.