Norm and Debbie keep 1.5 month’s income in a NOW account for emergencies. This is an example of the _______________ demand for money. Transaction demand for money. Speculative demand for money. Precautionary demand for money. Income effect. Substitution effect.
Norm and Debbie keep 1.5 month’s income in a NOW account for emergencies. This is an example of the _______________ demand for money. Transaction demand for money. Speculative demand for money. Precautionary demand for money. Income effect. Substitution effect.
Chapter26: Monetary Policy
Section: Chapter Questions
Problem 1SQ
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- Norm and Debbie keep 1.5 month’s income in a NOW account for emergencies. This is an example of the _______________
demand for money.- Transaction demand for money.
- Speculative demand for money.
- Precautionary demand for money.
- Income effect.
- Substitution effect.
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