How will the given events affect the demand for money

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Reference no: EM131530663

Question: How will the following events affect the demand for money? In each case, specify whether there is a shift of the demand curve or a movement along the demand curve and its direction.

a. There is a fall in the interest rate from 12% to 10%.

b. Thanksgiving arrives and, with it, the beginning of the holiday shopping season.

c. McDonald's and other fast-food restaurants begin to accept credit cards.

d. The Fed engages in an open-market purchase of U.S. Treasury bills.

Reference no: EM131530663

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