In 1923, Germany experienced a very severe inflation. As prices in Germany rose, the demand in the foreign exchange market for U.S. dollars:

A. fell and the supply of them rose, decreasing their value.
B. rose and the supply of them fell, increasing their value.
C. fell and the supply of them also fell, increasing their value.
D. rose and the supply of them also rose, decreasing their value.


Answer: B

Economics

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