The Economics of Money and Banking Chapter 9 Money Demand and Money Supply 》》 Factors that Determine the Demand for Money 1 the level of interest rates and financing conditions Money Demand Yields and investment environment the expectation of inflation and price level the income level and techniques of managing finance the velocity of money foreign interest rate the efficiency of the financial markets and transaction costs 4 GUO YING SEM TONGJI UNIVERSITYThe Economics of Money and Banking 4 GUO YING SEM TONGJI UNIVERSITY 1 Factors that Determine the Demand for Money Money Demand the level of interest rates and financing conditions Yields and investment environment the expectation of inflation and price level the income level and techniques of managing finance the velocity of money the efficiency of the financial markets and transaction costs foreign interest rate Chapter 9 Money Demand and Money Supply