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The demand for money curve shows that there is an inverse relationship between interest rate and

A.quality of money supplied
B. Price level
C. Gross domestic products
D.quantity of money demanded

User Rajanboy
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Answer:

D.quantity of money demanded

Step-by-step explanation:

Demand for money refers to the people's preference to hold liquid assets and opposed to physical assets. People demand money for immediate purchases or to store to spend it later. The demand curve for money demonstrates the inverse relationship between the quantity demanded of money and the interest rate. The curve slope downwards from the top right corner illustrating how demand increases as interest rates decline.

User Partha Mandal
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