Unformatted text preview: size of the income and type of activities performed by individuals, households and firms. Since the size of the income does not change suddenly and significantly, the demand for money for this purpose is normally constant in the short run. Demand for money to satisfy transactions motive is about 50 percent of the size of an individual or household income....
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This note was uploaded on 11/17/2011 for the course EC ec 201 taught by Professor - during the Fall '10 term at Montgomery.
- Fall '10