Shift of the money demand curve


Problem: I want assistance in determining whether each of the given would lead to an increase, a decrease, or no change in the quantity of money people wish to hold. Also determine whether there is a shift of the money demand curve or a movement along a given money demand curve.

a. A decrease in the price level

b. An increase in real output

c. An improvement in money's ability to act as a store of value

d. An increase in the market interest rate

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Microeconomics: Shift of the money demand curve
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