When the price level in an economy falls, the demand for bonds and other nonmonetary financial assets rises.

Name: When the price level in an economy falls, the demand for bonds and other nonmonetary financial assets rises.
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When the price level in an economy falls, the interest rates tend to fall as well. As a result, the demand for bonds and other nonmonetary financial assets rise because their fixed rates become more attractive to investors.

When the Price Level in an Economy Falls, the Demand