When the Number of Dollars Needed to Buy a Representative

question 151

Multiple Choice

When the number of dollars needed to buy a representative basket of goods falls, what happens to the value of money?

• A) It rises, and so the price level rises.
• B) It rises, and so the price level falls.
• C) It falls, and so the price level rises.
• D) It falls, and so the price level falls.

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