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Refer to the Market for Money Diagram Below

Question 234

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Refer to the market for money diagram below.The downward slope of the money demand curve Dm can best be explained in terms of the: Refer to the market for money diagram below.The downward slope of the money demand curve D<sub>m</sub> can best be explained in terms of the: A) transactions demand for money. B) direct or positive relationship between bond prices and interest rates. C) asset demand for money. D) wealth or real-balances effect.


A) transactions demand for money.
B) direct or positive relationship between bond prices and interest rates.
C) asset demand for money.
D) wealth or real-balances effect.

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