An individual holds $10,000 in a checking account and the price level rises significantly. Hence
A. the individualʹs real wealth and consumption expenditure decrease.
B. the individualʹs real wealth decreases but real national wealth increases.
C. there is no change in the individualʹs real wealth.
D. the individualʹs wealth increases.
Answer:A
An individual holds $10,000 in a checking account and the price level rises significantly. Hence
A. the individualʹs real wealth and consumption expenditure decrease. B. the individualʹs real wealth decreases but real national wealth increases. C. there is no change in the individualʹs real wealth. D. the individualʹs wealth increases.