The conversation between human and AI assistant.
Can the speculative demand for money be explained with income parameters?
That's insightful. How does the speculative demand for money differ from the demand for money for transactional purposes?
The demand for money for transactional purposes is driven by the need to conduct transactions such as purchasing goods and services, paying bills, and making investments. In contrast, the speculative demand for money is driven by the need for a safe and reliable store of value in order to protect against future uncertainties.