As the price level ________, the purchasing power of money ________.
A) increases; increases
B) increases; decreases
C) decreases; decreases
D) decreases; stays the same

Name: As the price level ________, the purchasing power of money ________. A) increases; increases B) increases; decreases C) decreases; decreases D) decreases; stays the same
Brand: Quizplus
Rating: 4.9 (34 reviews)

Question

Quizplus · Accepted Answer

As the price level increases, each unit of currency buys fewer goods and services, thus the purchasing power of money decreases.

As the Price Level ________, the Purchasing Power of Money