When people want to hold _____ money, the income velocity of money increases, and the money demand parameter k _____.

Name: When people want to hold _____ money, the income velocity of money increases, and the money demand parameter k _____.
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Question

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When people want to hold less money, they spend it more quickly, increasing the income velocity of money. Consequently, the money demand parameter k, which is inversely related to velocity, decreases.

When People Want to Hold _____ Money, the Income Velocity