If one U.S. dollar equals one euro, which of these could result if the euro experiences inflation?

a) E.U. citizens could purchase more goods in the U.S. for less money.

b) E.U. citizens would purchase large amounts of U.S. stock.

c) U.S. citizens would purchase more goods from the E.U. for less money.

d) U.S. citizens would purchase large amounts of E.U. stock.


Which of these statements is true?

a) Inflation means our money has more purchasing power.

b) Inflation happens when there is not enough money.

c) Inflation is due to low production costs.

d) Inflation is problematic if unexpected.