New Keynesian theory implies that which of the following reduces firms' incentive to adjust their prices?
A. a downward sloping aggregate demand curve
B. menu costs
C. the required reserve ratio
D. none of these
Answer: B
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Private property rights mean that:
A) individuals cannot be excluded from the consumption of goods and services regardless of whether they pay for them. B) individuals have a right to elect their representatives in the government. C) individuals can own businesses and assets, and their ownership is secure. D) the government does not own any resource used in production in an economy.
A feature of perfect competition is
A) use of non-price competition by firms. B) mutual interdependence among firms. C) unique products. D) standardized products.
Both monopolies and monopolistically competitive firms set marginal revenue equal to marginal cost to maximize profit. Given the same cost curves, would you expect prices to be higher in a monopoly or a monopolistically competitive market?
What will be an ideal response?
Eurobank spreads exceed U.S. spreads
Indicate whether the statement is true or false