Multiple Choice
The stickiness of wages and prices will cause
A) changes in aggregate demand to have no short-run effects on real GDP.
B) changes in aggregate demand to have long-run effects on real GDP.
C) changes in aggregate demand to have both short-run and long-run effects on real GDP.
D) changes in aggregate demand to have short-run effects on real GDP.
Correct Answer:
Verified
Correct Answer:
Verified
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