A. Answer all parts of this question from the perspective of the Quantity Equation of Money (MV=PQ) as it evolved from the 16^th century through the 19^th century.

1. Define each of the terms in the Quantity Equation.
2. Explain how British mercantilists proposed to increase M.
3. If M does increase by 25%, what result does a quantity theorist expect? Explain.
4. If M does increase, what does David Hume expect to happen to the nation's exports? Explain.
5. Explain how Thomas Mun proposed to avoid the result in c and d.