If Brazil experienced a period of rapid and unexpected inflation, causing Brazilians to lose confidence in the local currency (real) as a store of value, which of the following would be least likely to occur?
a. The value of the Brazilian real would depreciate on the foreign exchange market.
b. Foreign currency would be used as a substitute for the real.
c. The real would be used as a store of value in other countries
d. Brazilians would save less.
e. The purchasing power of the real would decrease.
c
Economics
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