Surpluses cause prices to fall while shortages cause prices to rise

The Canadian experience with inflation and unemployment in the early 1990s has this to say about policy rules:

A) A central bank independent of political pressure may thereby not be serving the public's politically-revealed preferences. B) A central bank bowing to political pressure cannot get the inflation rate below the unemployment rate. C) A constant-growth-rate-of-money rule cannot stabilize inflation if unemployment is allowed to vary substantially. D) A constant-growth-rate-of-high-powered-money rule allows too much variation in the growth of the actual money supply to hold down inflation.

An increase in the market clearing exchange value of the home nation's currency in terms of the currency of another nation is a home currency

A) appreciation. B) depreciation. C) devaluation. D) revaluation.