Keynes hypothesized that the speculative component of money demand was primarily determined by the level of

A) interest rates.
B) velocity.
C) income.
D) stock market prices.

A

Economics

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A recessionary gap means that the level of real GDP at the short-run macroeconomic equilibrium

A) is less than full-employment GDP. B) equals full-employment GDP. C) is more than full-employment GDP. D) may be less than, more than, or the same as full-employment GDP depending on the level of potential GDP.

Economics

An art museum raises its admission price, and ends up with a decrease in its total revenue. How could you explain this situation to the museum director?

What will be an ideal response?

Economics