According to classical economists: A.wages, prices and interest rates are flexible. B.only nominal wages and prices are flexible. C.the recessionary gaps create a shortage of unemployed workers. D. an inflationary gap creates a surplus of unemployed workers.

According to classical economists: A.wages, prices and interest rates are flexible. B.only nominal wages and prices are flexible. C.the recessionary gaps create a shortage of unemployed workers. D. an inflationary gap creates a surplus of unemployed workers.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter14: Aggregate Demand And Supply

Section: Chapter Questions

Problem 2SQP

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Question

According to classical economists:

A.wages, prices and interest rates are flexible.

B.only nominal wages and prices are flexible.

C.the recessionary gaps create a shortage of unemployed workers.

D. an inflationary gap creates a surplus of unemployed workers.

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