Multiple Choice
Suppose an economy produces only ice cream cones. If the price level rises, the value of currency
A) Rises, because one unit of currency buys more ice cream cones.
B) Rises, because one unit of currency buys fewer ice cream cones.
C) Falls, because one unit of currency buys more ice cream cones.
D) Falls, because one unit of currency buys fewer ice cream cones.
Correct Answer:
Verified
Correct Answer:
Verified
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