Multiple Choice
When studying the short-run behavior of the economy, an assumption of ______ is more plausible, in contrast to studying the long-run equilibrium behavior of an economy, when an assumption of ______ is more plausible.
A) inflation; unemployment
B) unemployment; inflation
C) flexible prices; sticky prices
D) sticky prices; flexible prices
Correct Answer:
Verified
Correct Answer:
Verified
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