Question

The money demand curve will shift to the left when:

Select one:
a. none of the Options
b. an increase in income
c. sale of government bonds by RMA
d. a reduction in the interest rate

= none of the Options​

Answer 1

Answer:

B. an increase of income

Explanation:

The curve shifts to the left if the determinant causes demand to drop. That means less of the good or service is demanded at every price. That happens during a recession when buyers' incomes drop. They will buy less of everything, even though the price is the same.