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Speculative Demand for Money

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Speculative Demand for Money
In Keynesian economics, a need for money for investment purposes. That is, speculative demand for money is the desire to have money for transactions other than those necessary for living. Speculative demand includes risk capital for securities. According to John Maynard Keynes, speculative demand is one of the three desires governing demand for money, the others being precautionary demand and transactions demand.


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Most of the discussion is devoted to developing a speculative demand for money function.
Demand for money is examined here and speculative demand for money is reassessed.
 
 
 
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