A country relies on imports for a substantial share of its raw materials. Its exchange rate then depreciates. What effect does this have on the external value and the internal value of money?
- Ainternal value of money rises; external value of money rises
- Binternal value of money falls; external value of money rises
- Cinternal value of money rises; external value of money falls
- Dinternal value of money falls; external value of money falls