In Keynes's Liquidity Preference Framework

question 19

Multiple Choice

In Keynes's liquidity preference framework

• A)the demand for bonds must equal the supply of money.
• B)the demand for money must equal the supply of bonds.
• C)an excess demand of bonds implies an excess demand for money.
• D)an excess supply of bonds implies an excess demand for money.

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Definitions:

Commitment

The condition of being committed to a purpose, task, or objective.

Inspirational Appeals

Relates to a leadership or influence tactic that seeks to elicit enthusiasm or emotion by appealing to people’s values, ideals, or aspirations.

Rational Appeals

Persuasive techniques based on logical or reasoned arguments rather than emotional appeals.

Personal Appeals

Influencing tactics that leverage the personal relationship between the influencer and the target, often invoking loyalty or friendship.