Refer to the Following Figure When Answering
Figure $\bar W$

Multiple Choice

Refer to the following figure when answering
Figure 15.2: The Labor Market
-In the stylized DSGE model for the labor market displayed in Figure 15.2, the line marked $\bar W$ is due to which of the following?
i. Cyclical unemployment
ii. Sticky prices
iii. Sticky wages

A) iii
B) i and ii
C) ii
D) i
E) ii and iii