Is the following true or false?

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Is the following true or false? when money demand is drawn on a graph with the interest rate on the vertical axis and the quantity of money on the horizontal axis, an increase in the price level shifts money demand to the right.this question is part of macroeconomics [ch. 21]

hazel500 · Accepted Answer

True since when the level of prices is high it inreaces the cost of money

Is the following true or false? When money demand is drawn on a graph with the interest rate on the vertical axis and the quantity of money on the horizontal axis, an increase in the price level shifts money demand to the right.

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hazel

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