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I

Now we should develop that analysis of motives of preference more in detail

Liquidities which has been previously scheduled in it. 13. In essence, speech

Will go about the same subject which sometimes emerges in discussions about so

Named "demand for money". It closely related also that name Velocity of money in relation to incomes *, for this concept only

Serves as a criterion of that share of incomes which public prefers to store in

To the cash balance form, so that increase of velocity of money on

To the relation to incomes it can be considered as a symptom of the decreased

Liquidity preferences. However it not same, as the separate

The relation of an accumulation fund of savings available for them, but at all in

The income relation. And, on all occasions, the term "velocity of money on

To the relation to the income "will disorient in the sense that makes to the false

To the assumption as if demand for money as a whole is proportional to the income or

Is with it in any certain communication, whereas such assumption It can be accepted, as we will see, only concerning some share monetary The cash which is at the command of public. It is as a result missed from To kind that role which is played by norm of percent.

In mine "the Treatise about money" I investigated an aggregate demand on money under

Headings: the deposits connected with incomes; commercial deposits; deposits,

Connected with savings. Here there is no need to reproduce that analysis,

Which I have resulted in it. 3 these books. The money stored for the sake of each of these

Three purposes, form, however, as though uniform pool which to the holder is not present

Necessities to divide into three water-proof chambers. There is no need even in that,

That they have been strictly differentiated in its own head, and same The sum can be kept mainly for one purpose, but in passing and for others. Therefore we can without detriment (it, perhaps, even will be more correct)

To consider the general demand of the person for money as the uniform decision, though and

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