Multiple Choice
Which of the following are NOT included among Gordon's criticisms of Friedman's fooling model?
A) Workers buy many goods on a weekly basis and thus could discover quite quickly that prices had risen.
B) Workers could discover movements in the aggregate price level fairly easily.
C) The model relied on a non-market-clearing explanation of the labor market.
D) Workers would predict higher prices if policies that led to higher prices in the past were used again.
Correct Answer:
Verified
Correct Answer:
Verified
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