The menu cost theory suggests that
A) wages and prices move freely and quickly.
B) the economy is characterized only by perfect competition.
C) there will be no unemployment.
D) firms find frequent price changes to be costly.
D
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What is the primary difference between a sole proprietorship and a partnership?
A) Partnerships have more owners than do proprietorships. B) Partnerships can issue stocks and bonds while proprietorships cannot. C) Proprietorships have unlimited liability while partnerships have limited liability. D) There is no real difference between the two types of firms.
Applying elementary economics, mismatch unemployment should fall when relative wages
A) rise. B) fall. C) are more flexible. D) are less flexible.
The percentage of births to unwed mothers has been rising at a faster rate for whites than for blacks since 1960
Indicate whether the statement is true or false
Suppose, as a result of a long-run adjustment in a perfectly competitive industry to a change in demand, price and output both rose. Therefore, demand must have __________ in this __________ industry
a. fallen; increasing cost b. fallen; decreasing cost c. increased; increasing cost d. increased; decreasing cost e. decreased; constant cost