Question
If the size of income of a family is increasing, the precautionary demand of money will:
Answer: Option A
:
A
With higher incomes, the precautionary demand will increase because expenditures may increase.
Was this answer helpful ?
:
A
With higher incomes, the precautionary demand will increase because expenditures may increase.
Was this answer helpful ?
More Questions on This Topic :
Question 2. Derivative deposits are:....
Question 3. A commercial bank is a bank that:....
Question 4. Demand for money balances is called ___ . ....
Latest Videos
Latest Test Papers
Submit Solution