Question

“Price of a commodity is not equivalent to its value. Let us assume that one day the price of everything i.e. diesel, vegetables, courier costs, daily wage, the cost of flats, etc. got doubled. Prices then would certainly rise, but values of all things except one would not.”
If prices of all things got doubled, then according to the passage which one of the following will be correct?

• A. Values of things to be purchased would get halved.
• B. Value of the currency only will get halved.
• C. Values of all things will remain constant.
• D. Values of things for sale would get doubled.

Answer 1

The correct option is B Value of the currency only will get halved.

The value of currency only decreases when the prices go up and not the value of commodity. So, from the list, the value of the daily wage of an employee would not rise. So, doubling the price of commodities means that the value of currency only gets halved.