The precautionary demand for holding money arises because A) people w

The precautionary demand for holding money arises because

A) people want be able to make unexpected purchases or to meet emergencies.
B) credit cards charge low interest rates, which makes money more attractive than credit.
C) expected transactions are completed more easily with debit cards than with credit cards.
D) people would rather hold money in the form of time deposits than in the form of hard currency.

ANSWER

A