Multiple Choice
Menu costs are an important source of price stickiness because ________.
A) printing menus is costly
B) putting items "on sale" reduces firms' revenue
C) frequent price changes may lead to losing customers
D) all of the above
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q14: Menu costs _.<br>A)are the cost a firm
Q15: Staggered price setting _.<br>A)leads to frequent price
Q16: During the period from 1970 to the
Q17: In a perfectly competitive market _.<br>A)most goods
Q20: Economic globalization has seen _.<br>A)business cycles in
Q21: Staggered price setting _.<br>A)refers to the lack
Q22: Interest rates spreads between long-term and short-term
Q23: GDP is a good proxy for the
Q24: Prices that adjust slowly to their long-run
Q123: There are no questions for this section.