C H A P T E R 11: Money Demand, the Equilibrium Interest Rate, and Monetary Policy © 2004 Prentice Hall Business PublishingPrinciples of Economics, 7/eKarl Case, Ray Fair 10 of 29 The Determinants of Money Demand: Review Money demand answers the question: How much money do firms and households desire to hold at a specific point in time, given the current interest rate, volume of economic activity, and price level
{}