According to the Theory of Liquidity Preference,if Output Decreases

question 119

Multiple Choice

According to the theory of liquidity preference,if output decreases

• A)people want to hold more money.This response is shown as a movement along the money demand curve.
• B)people want to hold more money.This response is shown as a shift of the money demand curve.
• C)people want to hold less money.This response is shown as a movement along the money demand curve.
• D)people want to hold less money.This response is shown as a shift of the money demand curve.

---

Definitions:

Comma

A punctuation mark indicating a pause between parts of a sentence or used to separate items in a list.

Freight Rebates

Discounts or refunds given by carriers or warehouse operators on freight charges under certain conditions.

Equitable Remedy

A judicial order enforcing a right or redressing a wrong, guided by principles of equity rather than strict legal rules.

Consensus

An element of a valid contract; both parties must objectively know and agree to its terms through an offer and an acceptance.