Archive | Liquidity Preference Theory

Keynes’ Liquidity Preference Theory of Interest | Economics

In this article we will discuss about:- 1. Introduction to Keynes Liquidity Preference Theory of Interest 2. Demand for Money 3. Supply of Money 4. Determination of Rate of Interest 5. Changes in Demand for and Supply of Money 6. Significance of Liquidity Preference Theory of Interest 7. Criticisms 8. Conclusion. Introduction to Keynes Liquidity Preference Theory of Interest: Keynes, [...]

By Suman K|2018-08-13T06:52:04+05:30August 13, 2018|Liquidity Preference Theory|Comments Off

Liquidity Preference Theory of Interest | Economics

In this article we will discuss about the liquidity preference theory of interest. Also learn about the possibility of zero rate of interest. According to J.M. Keynes interest is not the reward for saving as has been postulated by the classical economists but the reward for partly with liquidity or a specific period. It is a purely monetary phenomenon and [...]

By Nipun S|2017-01-13T05:55:21+05:30January 13, 2017|Liquidity Preference Theory|Comments Off