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According to Keynes, the supply of money with respect to interest rate is

In the elementary Keynesian money-market diagram, the nominal money supply is fixed by policy and does not respond to the interest rate: perfectly inelastic. Perfectly,…

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According to Keynes, the supply of money with respect to interest rate is

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In the elementary Keynesian money-market diagram, the nominal money supply is fixed by policy and does not respond to the interest rate: perfectly inelastic. Perfectly, moderately or unit-elastic supply would introduce a different assumed supply response.

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