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sensible grounds additionally. Thus extra money shall be available for speculative motive and the speed of interest would fall. The major difference between the classical and Keynesian propositions about cut in actual wages lies in that the classicists advocated cut in real wages via minimize in cash wages. They believed in the flexibility of money wages. In order to ascertain this, Keynes brought out the excellence between money wages and actual wages. Keynes identified that the relation between the two is inverse. costs will have no effect on the demand and supply of products. Mrs Robinson regards the Wicksell Effect as “the important thing to the whole theory of capital The hottest product to my granddaughter in all the things ill do in my life love grandpa hearts necklaceaccumulation.” is dependent upon the expected profitability of new investment. All elements which affect the expected profitability of investment convey changes in the pure rate of interest. the worth of money is set by the demand for money balances. money. The demand for cash is the demand to hold cash balances for transactions and precautionary motives. According to Keynes, “The quantity concept of money is a truism.” inside money as cash “based mostly on the debt of endogenous financial models”. Thus time deposits usually are not ‘actual’ cash and for them to turn out to be cash they should be transformed

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