Suppose that the real interest rate was 3 percent and the inflation rate was 1 percent. What happened with the value of savings?

a. The dollar value of savings increased at 3 percent, and the value of savings measured in goods increased at 1 percent.

b. The dollar value of savings increased at 4 percent, and the value of savings measured in goods increased at 3 percent.

c. The dollar value of savings increased at 1 percent, and the value of savings measured in goods increased at 2 percent.

d. The dollar value of savings increased at 2 percent, and the value of savings measured in goods increased at 3 percent.