Keynes called money people hold to make routine day-to-day ...

[armygirl]

Keynes called money people hold to make routine day-to-day purchases the:
 a. transactions demand for holding money.
  b. precautionary demand for holding money.
  c. speculative demand for holding money.
  d. store of value demand for holding money.

Question 2

Why is it important to distinguish nominal GDP from real GDP?

[SeanoH09]

Answer to Question 1

a

Answer to Question 2

A distinction between nominal GDP and real GDP is important to know whether the economy has really grown or not. Only increases in real GDP indicate a true expansion in our nation's production that may translate into an increase in our average absolute standard of living.

[armygirl]

Thanks for the timely response, appreciate it

[steff9894]

Excellent