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Keynes Argued That When Interest Rates Were High Relative to Some

question 91

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Keynes argued that when interest rates were high relative to some normal value,people would expect bond prices to ________,so the quantity of money demanded would ________.


Definitions:

Employed

The condition of having paid work or being engaged in an activity or job that generates income.

Labor Force

The total number of people employed or actively seeking employment in a given economy.

Discouraged Workers

Individuals not actively seeking employment because they believe no jobs are available for them.

Labor Force

The sum of individuals either working or actively looking for work in an economic system.

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