What is meant by the demand for money?
What will be an ideal response?
Money is used to buy goods and services. So, if we want to purchase something, we must have some money. The demand for money is amount of desired money holdings, given factors such as income and the interest rate.
You might also like to view...
Long-term solutions to communitywide poverty must involve:
A. ways to expand the range opportunities available to the population. B. increasing the value of the currency. C. ways to reduce taxes collected by local governments. D. All of these are true.
The quantity purchased and sold could either increase or decrease when both demand and supply decrease in a market
Indicate whether the statement is true or false
If an economy's aggregate expenditure line crosses the 45-degree line at a level below potential GDP, then there exists an inflationary gap
a. True b. False Indicate whether the statement is true or false
When the price of a good is above its equilibrium price, a:
A. surplus puts upward pressure on the price. B. surplus puts downward pressure on the price. C. shortage puts upward pressure on the price. D. shortage puts downward pressure on the price.