Money demand is said to be 'derived' because:

CA Foundation · Business Economics · RTP · September 2026
Money demand is said to be 'derived' because:
(A) (A) It is decided by the government
(B) (B) People hold money because it earns interest
(C) (C) People demand money to facilitate expenditure
(D) (D) Money supply controls demand

Suggested Answer and Working Notes:

Correct Answer: Option (C)

Correct Option: (C)

Topics: Money Market

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