Question

The statement that "currency held in the hand yields no income" is given by:

• A. A. C. Pigou
• B. A. Marshall
• C. I. Fisher
• D. J. M. Keynes

Hint:

The concept of the opportunity cost of holding cash, as discussed by I. Fisher, highlights that money held does not generate income or interest.

Answer 1

The Correct Option is C

Step 1: Concept Elucidation.
The assertion that currency held in hand generates no income signifies that cash reserves do not accrue any returns or interest. This principle aligns with the classical perspective on money.

Step 2: Attribution.
I. Fisher is credited with this notion, having addressed the opportunity cost inherent in holding money.