According to the theory of money,what is the most compelling evidence to use against those researchers or historians who believe that England was responsible for creating a shortage of money in colonial America?

Question

Quizplus · Accepted Answer

According to the theory of money, if England were responsible for creating a shortage of money in colonial America, the result would be deflation or a decrease in the general price level. However, the fact that prices increased instead of decreasing is evidence that there was not a shortage of money caused by England. Therefore, choice D, "Prices increased, rather than decreasing" is the most compelling evidence against the notion that England created a shortage of money in colonial America.

According to the Theory of Money,what Is the Most Compelling