Concept:Value of money means its purchasing power, and it changes in the opposite direction to the general price level.
Explanation:Value of money is the amount of goods and services one unit of money can buy.
Price level is the average of all prices in an economy.
When the price level rises, money buys fewer goods, so its value falls.
When the price level falls, money buys more goods, so its value rises.
This can be written as
Value of money=P1, where
P is the price level.
Thus, there is an inverse relationship between the value of money and the price level.
Answer:D. is inversely related to the price level.