The transaction motive for holding money is primarily influenced by the need for liquidity to facilitate everyday purchases and expenses. Factors include the frequency of transactions, income stability, and the overall level of prices in the economy. Additionally, individual preferences for consumption and the availability of credit can also impact how much money people choose to hold for transactions. Economic conditions, such as inflation and interest rates, further shape these motives by affecting purchasing power and the opportunity cost of holding cash.
A desire to hold cash in order to conduct cash-based transactions.
The main motives for holding money are transactions, precaution, and speculation. The transaction motive relates to the need for money to facilitate everyday purchases and expenses. The precautionary motive involves holding cash for unexpected expenses or emergencies. Finally, the speculative motive refers to retaining money to take advantage of potential investment opportunities or to avoid losses in uncertain market conditions.
Expansion
reasons for holding stockSpeculative motivePrecautionary motiveTransaction motive
Valuable information is information that can be learned from or used in some way. Characteristics of valuable information include a want for the information and a motive for wanting that information.
1 - Transaction motive 2 - Precautionary motive 3 - Speculative motive
The three primary motives for holding money are the transaction motive, precautionary motive, and speculative motive. The transaction motive refers to the need for money to facilitate everyday purchases and expenses. The precautionary motive involves holding money as a safeguard against unexpected events or emergencies. Lastly, the speculative motive involves holding money to take advantage of potential investment opportunities or to benefit from changes in interest rates or asset prices.
A desire to hold cash in order to conduct cash-based transactions.
That's correct. Motive is a reason for doing something, often based on a need or desire that prompts a person to act in a certain way. It can be driven by a variety of factors such as biological, psychological, or social influences.
John Maynard Keynes identified three primary motives for holding money: the transaction motive, the precautionary motive, and the speculative motive. The transaction motive refers to the need for money to facilitate everyday purchases and expenses. The precautionary motive involves holding money for unexpected expenses or emergencies, while the speculative motive pertains to holding cash to take advantage of potential investment opportunities when market conditions are favorable. Together, these motives explain why individuals and businesses choose to keep liquid assets instead of investing them all.
motive
A person's motive refers to the underlying reasons or driving forces behind their actions and decisions. It can be influenced by various factors, including personal desires, beliefs, emotions, social influences, and past experiences. Understanding someone's motive often involves analyzing their goals and the context of their behavior, which can reveal deeper insights into their character and intentions. Ultimately, motives can vary widely from person to person and situation to situation.
Security motive refers to the instinctive need for individuals to feel safe and protected. It drives people to seek out stable environments and resources to guard against potential threats and dangers. This motive influences various aspects of human behavior, from decision-making to relationships.
The profit motive
A by-motive is a hidden motive.
The main motives for holding money are transactions, precaution, and speculation. The transaction motive relates to the need for money to facilitate everyday purchases and expenses. The precautionary motive involves holding cash for unexpected expenses or emergencies. Finally, the speculative motive refers to retaining money to take advantage of potential investment opportunities or to avoid losses in uncertain market conditions.
It is unclear what the motive of the man for murdering Mrs. Oakentubb is without more information about their relationship, circumstances, or any potential conflicts between them. Multiple factors could contribute to motive, such as jealousy, financial gain, revenge, or other personal motivations.