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Economics- the demand for money Assignment Help Introduction In economics, the demand for money is usually related with money or bank demand deposits. Usually, the small demand for money increases with the level of small output and reduces with the small rates of interest. Effect of the Interest Rate The interest rate is the rate at which interest is paid by a debtor debtor for the usage of money that they obtain from a loan provider financial institution. The amount of money required differs inversely with the interest rate.

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