If You Were Going to Write a Function for Money

question 44

Multiple Choice

If you were going to write a function for money demand, you would say that the demand for money holdings:

• A) varies directly with both the nominal interest rate and nominal income.
• B) varies inversely with both the nominal interest rate and nominal income.
• C) varies inversely with nominal income and directly with the nominal interest rate.
• D) varies inversely with the nominal interest rate and directly with nominal income.

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