Example sentences of "nominal demand for money " in BNC.
Next page| No | Sentence |
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| 1 | The nominal demand for money is a stable function of a list of variables which might include the following : ( a ) Total wealth ( W ) . |
| 2 | Since the purchasing power of a given sum of money depends inversely on the price level , there will be a direct relationship between the price level and the nominal demand for money . |
| 3 | Now denoting the nominal demand for money by MD , we can write in functional form : unc A simplified version of this function can be obtained by using real national income ( Y ) as an indicator of total wealth and by assuming that h is constant and that the function is homogeneous of the first degree in P. We can then write the real demand for money as : unc Monetarists generally believe the demand for money to be fairly unresponsive to interest rate changes ( and this is supported by empirical evidence ) . |
| 4 | Or unc In equilibrium , the nominal demand for money equals the nominal money supply so that : unc ( 1 ) Now any increase in the nominal money supply will create an excess supply of money which will lead to an adjustment of portfolios as people attempt to spend their excess money holdings . |
| 5 | The increased demand for goods and services , however , leads to an increase in the output or prices of these goods and services , so that the nominal demand for money increases at every interest rate . |