Question: Answer the question based on the following information: For transactions, households and businesses want to hold an amount of money equal to one- half of

 Answer the question based on the following information: For transactions, households

Answer the question based on the following information: For transactions, households and businesses want to hold an amount of money equal to one- half of nominal GDP. The table shows the amounts of money they want to hold as an asset at various interest rates. If nominal GDP is $300 and the supply of money is $170, the equilibrium interest rate will be Interest Amount of Money Rate Demanded as an Asset 108 $ 20 8 40 6 60 4 80 2 100

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