Multiple Choice
The Keynesian assumptions of the macroeconomy include each of the following except
A) wages and prices can be "sticky" or "fixed."
B) expectations are consistent with full employment.
C) the labor market can be out of equilibrium, causing involuntary unemployment.
D) shocks to aggregate demand will change the composition and the level of GDP.
Correct Answer:
Verified
Correct Answer:
Verified
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