Which One of the Following Statements Is the MOST Accurate

question 8

Multiple Choice

Which one of the following statements is the MOST accurate?

• A) The purchasing power of any given country's currency will increase in countries where the prices of non-tradable goods rise.
• B) The purchasing power of any given country's currency will fall in countries where the prices of non-tradable goods fall.
• C) The purchasing power of any given country's currency will fall in countries where the prices of non-tradable goods rise.
• D) The purchasing power of any given country's currency will remain constant in countries where the prices of non-tradable goods rise.
• E) The purchasing power of any given country's currency will fall in countries where the prices of non-tradable goods remain constant.