If for whatever reason, in the short run output is above potential output, over time, as prices become flexible, prices will ,and output will increase; increase decrease; decrease increase; decrease decrease; increase

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter4: Labor And Financial Markets
Section: Chapter Questions
Problem 9SCQ: Identify the most accurate statement. A price floor will have live largest effect if it is set:...
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H2.
If for whatever reason, in the short run output is above potential output, over time, as prices become flexible,
prices will
and output will
increase; increase
decrease; decrease
O increase; decrease
decrease; increase
Transcribed Image Text:If for whatever reason, in the short run output is above potential output, over time, as prices become flexible, prices will and output will increase; increase decrease; decrease O increase; decrease decrease; increase
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