Question

Transaction demand for money, Mt = 0.5Y. Speculative demand for money, Msp = 100 – 250 i Money supply Ms = 300   LM equation from the above data is

A i = .002Y + 0.80
B i = .020Y – 0.80
C i = .207Y + 0.67
D i = .002Y – 0.80
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