When does the speculative demand for money arise?

Show Answers

People keep money on hand for unexpected emergencies.People hold money to make purchases.People prefer holding money instead of other assets due to concerns about asset price declines.People retain money specifically for shopping purposes.

Explanation

Speculative demand for money refers to holding cash to take advantage of future investment opportunities or price changes, not for transactions. The option indicating holding money to make purchases describes the transaction demand, not speculative demand.