The precautionary demand for money arises
A) because people feel relatively certain what the future will bring.
B) because individuals are uncertain about the future.
C) when nominal income exceeds potential income.
D) as important exceptions to the Keynesian model.
E) because the transaction demand for money is never adequate to absorb the money supply.
Correct Answer:
Verified
Q49: Paper money in the United States is
Q50: The most narrow definition of the money
Q51: The term "double coincidence of wants"
A)means that
Q52: Money performs its job as a standard
Q53: It is generally agreed that when the
Q55: Which is NOT considered money?
A)Checking account balances
B)Traveler's
Q56: The opportunity cost of holding money
A)is zero
Q57: Large denomination time deposits are included in
A)M2
Q58: The demand for money schedule shows that
Q59: Even though credit cards are used by
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