Concept:
According to Stokes' law, the terminal velocity of a small spherical body moving through a viscous medium is directly proportional to the square of its radius.
\[
v_t \propto r^2
\]
Thus, if the radius changes, terminal velocity changes according to:
\[
\frac{v_2}{v_1}=\left(\frac{R}{r}\right)^2
\]
where:
\[
r = \text{radius of each small drop}
\]
\[
R = \text{radius of the new large drop}
\]
Step 1: Relating the volumes before and after coalescence.
Eight identical drops combine to form one larger drop.
Volume is conserved.
Volume of one small drop:
\[
V=\frac{4}{3}\pi r^3
\]
Volume of eight drops:
\[
8\left(\frac{4}{3}\pi r^3\right)
\]
Let the radius of the new large drop be \(R\).
Then,
\[
\frac{4}{3}\pi R^3
=
8\left(\frac{4}{3}\pi r^3\right)
\]
Cancel common terms:
\[
R^3=8r^3
\]
Taking cube root:
\[
R=2r
\]
Step 2: Using the terminal velocity relation.
Since:
\[
v_t\propto r^2
\]
therefore,
\[
\frac{v_{\text{new}}}{v}
=
\left(\frac{R}{r}\right)^2
\]
Substitute \(R=2r\):
\[
\frac{v_{\text{new}}}{v}
=
\left(\frac{2r}{r}\right)^2
\]
\[
=
2^2
=
4
\]
Hence,
\[
v_{\text{new}}=4v
\]
Therefore, the correct answer is:
\[
\boxed{4v}
\]