Counterfeit activity?

A) lowers people's acceptance of currency.

B) destroys currency in circulation.

C) leads to currency being taken out of circulation.

D) Increases overall demand for legal currency.

Counterfeit activity (C) leads to currency being taken out of circulation

Explanation:

Counterfeit activities are those that can destroy the economic conditions of a nation. These activities can hamper the process of growth and development. One of these counterfeit activities is stopping the circulation of currency in the economy.

By this act, it will decrease the money supply in the market that will lower down the purchasing power of consumers. The stock with the sellers will remain idle. The whole market would be disturbed. So it can be concluded that these counterfeit activities can hamper overall economic conditions like GDP.