Monetarists say that the relationship between the amount of money that households and businesses want to hold and the level of national output and income
A) has decreased historically because of increased accessibility to credit.
B) rises during recession and falls during periods of full employment.
C) falls during recession and rises during periods of full employment.
D) is relatively stable.

Question

Quizplus · Accepted Answer

Monetarists believe that the demand for money is relatively stable in the long run, meaning it is not significantly impacted by fluctuations in national output and income or changes in credit accessibility.

Monetarists Say That the Relationship Between the Amount of Money