Multiple Choice
People had been expecting the price level to be 220 but it turns out to be 223. In response Green Leaf Paper Company increases the number of workers it employs. What could explain this?
A) both sticky price theory and sticky wage theory
B) sticky price theory but not sticky wage theory
C) sticky wage theory but not sticky price theory
D) neither sticky wage theory nor sticky price theory
Correct Answer:
Verified
Correct Answer:
Verified
Q2: Investment is a<br>A)small part of real GDP,so
Q11: Keynes believed that economies experiencing high unemployment
Q45: Other things the same,as the price level
Q77: When the dollar depreciates,U.S.<br>A)exports and imports increase.<br>B)exports
Q94: When the price level rises more than
Q100: When the money supply increases<br>A)interest rates fall
Q107: In the long-run, an increase in aggregate
Q117: As the price level falls<br>A)people will want
Q145: Make a list of things that would
Q199: Suppose the economy is in long-run equilibrium.