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Answer

Correct Option is the value of money only would be halved.

Solution:  The question is a little tricky. But, by simple logic, first you can eliminate options (a) and (b) since the question statement clearly mentions the value of all things would not rise or value of all things would not remain constant. Now, you can eliminate option (c) by the logic that – the question statement mentions that value of all things except one would rise (so it can’t be halved for all). So, the answer that you have is (d). Now, you can definitely prove answer (d) by what you study in economics (value of money goes down in inflationary situations), but it is not economics here. Its a critical reasoning question. So be objective. Just follow the question statement and eliminate whatever is illogical or cannot be deduced from the question statement. Although option (d) is not very explicit in the question statement, it sounds better than the other three. 

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