Multiple Choice
According to the theory of liquidity preference,money demand
A) and the money supply are positively related to the interest rate.
B) and the money supply are negatively related to the interest rate.
C) is negatively related to the interest rate,while the money supply is independent of the interest rate.
D) is independent of the interest rate,while money supply is negatively related to the interest rate.
Correct Answer:
Verified
Correct Answer:
Verified
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