Step 1: Dispersion:
Blue bends more than red in glass, so $\mu_{blue} > \mu_{red}$.
Step 2: Focal length:
Greater $\mu$ means a stronger lens, so $f_{blue} < f_{red}$.
Step 3: Magnification:
$M = 1 + D/f$ falls as $f$ rises. Changing from blue to red lowers $M$, option (A).
Final Answer:
Magnifying power decreases.
\[ \boxed{\text{(A) }\text{decreases}} \]