In the Long Run,if Purchasing Power Parity (PPP)is Maintained,a Rise

Multiple Choice

In the long run,if purchasing power parity (PPP) is maintained,a rise in a country's price level (relative to the foreign price level) should cause its currency to _______,while a fall in the country's relative price should cause its currency to _______.

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