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In the New Monetarist Model,for Financial Liquidity to Affect the Demand

Question 42

Multiple Choice

In the New Monetarist Model,for financial liquidity to affect the demand for investments goods requires


A) deficient financial liquidity.
B) consumers and firms to be surprised by monetary policy.
C) adequate financial liquidity.
D) an initially very high interest rate.
E) only that consumers and firms behave rationally.

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