Question

Which of the following will

happen when there is an
increase of M1 in the economy?
A. The value of money (the dollar) will erode.
B. Prices will suddenly drop in the economy.
C. Inflation will dramatically drop.
D. The economy will collapse.

Answer 1

The answer is A

Explanation:

When the economy increases that makes more money for that state so it won't go down I hope this helps <3