According to the Liquidity Preference Theory,the Demand for Money Is

question 85

Multiple Choice

According to the liquidity preference theory,the demand for money is ________ related to aggregate output and ________ related to interest rates.

• A)negatively;negatively
• B)negatively;positively
• C)positively;negatively
• D)positively;positively

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Definitions:

Conditional

A statement or proposition that asserts that one thing is true if another thing is true, typically formulated as "If P, then Q."

Negation

The contradiction or denial of something, or the opposite of a given statement or proposition.

Conjunction

In grammar, it refers to a part of speech that connects words, sentences, phrases, or clauses. In logic, it's a compound statement that is true if both of its component statements are true.

Truth Table

A diagram displaying the truth or falsity of a compound proposition as a function of the truth or falsity of its atomic statements and connectives.