The speculative demand for money is inversely related to the
The correct answer is A. interest rate
The speculative demand for money is simply a need for money for investment purposes, which is indirectly influenced by interest rates. When the rates of interest is high, people would most likely want to invest their money so as to get a high return on investment.
Previous question Next questionWhat is Exam without Practice? With our customizable CBT practice tests, you’ll be well-prepared and ready to excel in your examsStart Practicing Now
