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According to the Theory of Liquidity Preference,an Increase in the Price

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According to the theory of liquidity preference,an increase in the price level causes the


Definitions:

Investor Aversion

A reluctance or aversion among investors to take on risky investments, preferring safer, more predictable returns instead.

Capital Gains

The increase in the value of an investment or real estate that gives it a higher worth than the purchase price.

Tax Treatment

The application of revenue law to a financial transaction, affecting how it is taxed.

Growth

Refers to the increase in economic value, size, or output of an entity, often considered for investments or economies over time.

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