Multiple Choice
Suppose workers notice a fall in their nominal wage but are slow to notice that the price of things they consume have fallen by the same percentage.They may infer that the reward to working is
A) temporarily low and so supply a smaller quantity of labor.
B) temporarily low and so supply a larger quantity of labor.
C) temporarily high and so supply a smaller quantity of labor.
D) temporarily high and so supply a larger quantity of labor.
Correct Answer:
Verified
Correct Answer:
Verified
Q7: Which of the following is correct?<br>A)The short-run,but
Q8: The long-run aggregate supply curve shows that
Q9: According to the misperceptions theory of the
Q10: The long-run aggregate supply curve<br>A)is vertical.<br>B)is a
Q13: Assuming that a is positive,theories of short-run
Q14: The long-run aggregate supply curve would shift
Q15: The sticky-price theory implies that<br>A)the short-run aggregate-supply
Q16: The aggregate supply curve is upward sloping
Q17: The sticky-price theory of the short-run aggregate
Q125: The classical dichotomy and monetary neutrality are