Example sentences of "[art] transaction demand for [noun] " in BNC.
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| 1 | For a given real money supply , the higher the level of income , the higher the rate of interest must be to allow the transactions demand for money to be met . |
| 2 | If the curve is steep the implication is that an increase in government spending increases income , which increases the transactions demand for money , which increases interest rates , which chokes off private investment . |
| 3 | The rise in income will be less than that shown in diagram ( c ) , however , since any rise in income will lead to a rise in the transactions demand for money , L 1 . |
| 4 | In such a case the rise in the transactions demand for money will match the rise in the supply of money . |
| 5 | The interest rate mechanism works as follows : ( a ) a rise in money supply causes money supply to exceed money demand ; interest rates fall ; ( b ) this causes investment to rise ; ( c ) this causes a multiplied rise in national income but ( d ) as national income rises so the transactions demand for money will rise , thus preventing quite such a large fall in interest rates . |
| 6 | This would reduce aggregate demand directly and thus reduce the transactions demand for money . |
| 7 | If people think inflation will rise , the transactions demand for money may rise . |
| 8 | Similarly , a consumer boom , to the extent that it increases the transactions demand for money and increases imports , will encourage the authorities to increase interest rates in order to keep money supply on target . |
| 9 | The transactions demand for money arises because individuals receive their incomes weekly or monthly and yet have to pay for many of the goods and services they buy on a day-to-day basis . |
| 10 | Using functional notation , we can write where L , is the transactions demand for money . |
| 11 | Note that for a given level of income , the transactions demand for money would rise if more households were paid fortnightly or monthly rather than weekly . |
| 12 | The transactions demand for money . |
| 13 | In what follows , we ignore the possibility of such institutional changes and assume that the transactions demand for money depends only on money national income . |
| 14 | Graph ( c ) shows the direct relationship between the transactions demand for money ( L t ) and national income . |
| 15 | The reason for this is that every income level ( which determines the transactions demand for money ) must now be associated with a lower interest rate and therefore a higher speculative demand for money if equality between the total demand for and supply of money is to be maintained . |