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    Business
  3. Study Set
    Modern Principles of Economics
  4. Exam
    Exam 13: Business Fluctuations: Aggregate Demand and Supply
  5. Question
    Sticky Wages and Prices
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Sticky Wages and Prices

Question 7

Question 7

Multiple Choice

Sticky wages and prices:


A) reduce the impact of negative shocks.
B) increase the impact of positive shocks.
C) have no effect on the impact of negative shocks.
D) offset the impact of positive shocks.

Correct Answer:

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