A temporary increaseincrease in an economy's money supply produces Part 2 A. no change in the long-run expected exchange rate, a depreciationa depreciation of its currency, and a riserise in its output and employment. B. no change in the long-run expected exchange rate, an appreciationan appreciation of its currency, and a riserise in its output and employment. C. an increasean increase in the long-run expected exchange rate, a depreciationa depreciation of its currency, and a riserise in its output and employment. D. a depreciationa depreciation of its currency, but no change in either the long-run expected exchange rate or its output and employment