The price level and the value of money are

A.

Positively related

B.

Directly related

C.

Not related

D.

Inversely related

Correct answer is D

The price level and the value of money are inversely related. The price level is the average price of goods and services in an economy. The value of money is the amount of goods and services that can be purchased with a unit of money.

When the price level increases, the value of money decreases. This is because the same amount of money can buy fewer goods and services. Conversely, when the price level decreases, the value of money increases. This is because the same amount of money can buy more goods and services.