Which of the Following Best Describes How the Real Balance

Multiple Choice

Which of the following best describes how the real balance effect works?

A) The price level falls,purchasing power rises,a person's monetary wealth rises,and the person buys fewer goods and services.
B) The price level rises,purchasing power rises,a person's monetary wealth decreases,and the person buys more goods and services.
C) The price level rises,purchasing power falls,a person's monetary wealth falls,and the person buys fewer goods and services.
D) The price level falls,purchasing power rises,a person's monetary wealth falls,and the person buys fewer goods and services.
E) none of the above