The money demand curve will shift to the left if:

A. the nominal interest rate increases.
B. the nominal interest rate decreases.
C. the price level decreases.
D. the price level increases.

Answer: C

Economics

You might also like to view...

In the foreign exchange market, how does each of the following influences affect the demand for dollars and the demand curve for dollars?

a) an increase in the exchange rate. b) an increase in the U.S. interest rate. c) a fall in the expected future exchange rate.

Economics

Which of the following will most likely have the greatest effect on an individual's consumption function?

a. winning a small amount in the lottery b. a one-time tuition grant c. a week of high overtime pay d. an inheritance paying a modest annual dividend

Economics