Multiple Choice
The misperception effect explanation for an upward-sloping short-run aggregate supply curve is based on:
A) falling profit margins as the price level rises.
B) rising costs of production as the price level rises.
C) fixed wage labor contracts.
D) people mistaking changes in aggregate demand for changes in the demand for their goods relative to other goods and services.
Correct Answer:
Verified
Correct Answer:
Verified
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