One reason stagflation is difficult to recover from is because:
A. less output requires less inputs to be hired.
B. prices tend to adjust more quickly downward than upward.
C. wages are sticky downward.
D. input prices increase with output prices.
Answer: C
You might also like to view...
A shortage will occur if:
A. the quantity being supplied at a given price is less than the quantity demanded at that price. B. the quantity being supplied at a given price exceeds the quantity demanded at that price. C. there are not enough buyers in the market. D. there are only inexperienced firms in the market.
Workers in industrial countries earn much higher wages than workers in developing countries because:
a. the industrial countries are labor rich and capital poor economies. b. the industrial countries lack a steady supply of unskilled laborers. c. the industrial countries produce labor intensive goods. d. the marginal productivity of labor is low in the industrial economies. e. the marginal productivity of labor is high in the industrial economies.
The Bush tax cuts of 2001-2010 increased education incentives, and as a result,
A. New vertical inequities were introduced into the tax system. B. The difference between gross incomes and taxable incomes became smaller. C. College enrollments were expected to increase significantly. D. Low-income households benefited more than all other households.
Women in poor countries are more likely to experience all of the following except
A. Being paid less than men. B. Restricted property rights. C. Being prohibited from bringing a dowry to a marriage. D. Prohibitions against voting.