00:01
Alright, so which of the fong is most accurate? okay, so basically all five answer choices are about either permanent increase or temporary increase.
00:09
Permanent increase is about long run effects.
00:13
Temporary increase is about short -term effects.
00:17
Every single answer choice that says temporary says long.
00:22
There's actually only one answer choice that even says temporary and that says long, and that's one reason why that's wrong.
00:27
Okay, so an increase in money supply would depreciate the currency.
00:36
In other words, more money supply leads to a weaker currency against other foreign currencies.
00:43
Okay, the only one that actually accurately says that is a permanent increase in a country.
00:48
Money supply causes a proportional long run, right? long run is permanent.
00:53
Depreciation means increase in supply.
00:56
And so a is the one that is the one that is the one that...