A Currency Drain Occurs Because People Want to Hold Some

question 343

True/False

A currency drain occurs because people want to hold some of their money as currency rather than as deposits.

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Definitions:

William McDougall

A psychologist known for his work in social psychology and the concept of instinct theory of motivation.

Instincts

Innate, fixed patterns of behavior in response to specific stimuli.

Purposive

Having or serving a purpose; intentional or goal-oriented in nature.

Supernormal Stimulus

An exaggerated artificial stimulus that elicits a stronger response than the natural stimulus for which an organism is programmed.