In the Long Run,a Rise in a Country's Price Level

question 28

Multiple Choice

In the long run,a rise in a country's price level (relative to the foreign price level) causes its currency to ________,while a fall in the country's relative price level causes its currency to ________.

• A)appreciate;appreciate
• B)appreciate;depreciate
• C)depreciate;appreciate
• D)depreciate;depreciate

---

Definitions:

Provocative

Causing a strong reaction, often deliberately, by presenting challenging or stimulating ideas, situations, or information.

Hypervigilant

An enhanced state of sensory sensitivity accompanied by an exaggerated intensity of behaviors whose purpose is to detect threats.

Avoidant

Characterized by a tendency to avoid social interactions or situations that might lead to negative judgments, criticism, or rejection.

Medicare Fraud

The act of making false statements or misrepresenting facts to obtain payment from the federal Medicare program unlawfully.