The shorter is the interval between firms' price adjustments,
A) a given unexpected increase in aggregate demand will cause a larger increase in output.
B) the greater is the scope for activist policies to stabilize the economy.
C) the smaller is the scope for activist policies to stabilize the economy.
D) a given unexpected increase in aggregate demand will cause a smaller increase in the price level in the short run.
C
You might also like to view...
Scarcity implies that people must
A) be miserable. B) be selfish. C) make choices. D) not be selfish.
All of the following entry methods provide firms with familiarity with a foreign market, expect which one?
A) partnership B) merger C) independent entry D) joint venture
GDP per capita is:
A. highly correlated with quality of life. B. perfectly correlated with quality of life. C. loosely correlated with quality of life. D. negatively correlated with quality of life.
By the late 1970s,
A. Russia began reforms which eventually transformed it to a more market-oriented economy. B. China began reforms which eventually transformed it to a more market-oriented economy. C. Russia and China were both quickly becoming market-oriented economies. D. None of the choices are true.