Which of the following would result if Greece decided to order all Greek banks to convert euro-denominated accounts to drachma-denominated accounts?

Question

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If Greece were to convert all euro-denominated accounts to drachma-denominated accounts, the purchasing power of drachma would decline. This means that the value of drachma would decrease, making it weaker relative to other currencies such as the euro. As a result, Greek citizens would be able to buy fewer goods and services with the same amount of drachma, leading to inflation.

Which of the Following Would Result If Greece Decided to Order