According to Keynes, interest is a payment for

1.	According to Keynes, interest is a payment for
Answer» Liquidity preference According to Keynes, interest is a PAYMENT for Liquidity preference. The Liquidity Preference Theory says that the DEMAND for MONEY is not to borrow money but the desire to remain LIQUID. In other WORDS, the interest rate is the 'price' for money.

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Liquidity preference

According to Keynes, interest is a PAYMENT for Liquidity preference. The Liquidity Preference Theory says that the DEMAND for MONEY is not to borrow money but the desire to remain LIQUID. In other WORDS, the interest rate is the 'price' for money.

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According to Keynes, interest is a payment for

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