Because Keynes Assumed That the Expected Return on Money Was

question 16

Multiple Choice

Because Keynes assumed that the expected return on money was zero,he argued that people would

• A)never hold money.
• B)never hold money as a store of wealth.
• C)hold money as a store of wealth when the expected return on bonds was negative.
• D)hold money as a store of wealth only when forced to by government policy.

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Definitions:

Voiced Sympathy

Expressing feelings of pity and sorrow for someone else's misfortune.

Communism

A political and economic ideology aiming for a classless society where the means of production are communally owned and everyone contributes and receives according to their ability and needs.

Civil Liberties

Basic rights and freedoms guaranteed to individuals, usually protected by law or constitutional provisions, against government infringement.

Cold War

The period of geopolitical tension between the Soviet Union and the United States and their respective allies, from the end of World War II until the dissolution of the Soviet Union in 1991, characterized by mutual suspicion, propaganda, and proxy wars but not direct military conflict between the two superpowers.