The demand for money curve is drawn
A) holding several things constant, including the price level and interest rates.
B) with interest rates on the vertical axis and the curve sloping down since lower interest rates mean the “price” of holding money has fallen.
C) holding several things constant, including GDP and interest rates.
D) with interest rates on the horizontal axis, and the curve sloping up since the “price” of holding money varies directly with the interest rate.
ANSWER
B
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