In the Monetary Approach to the Exchange Rate, a Decrease

Multiple Choice

In the monetary approach to the exchange rate, a decrease in income in country I Will, other things equal, lead to an __________ money in country I and therefore to __________ of country I's currency against other currencies.

A) excess supply of; a depreciation
B) excess supply of; an appreciation
C) excess demand for; a depreciation
D) excess demand for; an appreciation