The Keynesian AS-curve differs from the classical AS-curve, since Keynes
A) thought that labor markets worked smoothly to always establish full employment
B) thought that nominal wages were rigid even when there was unemployment
C) thought that nominal wages were flexible even when there was unemployment
D) described the AS-curve as completely vertical
E) assumed that firms tried to exploit the work force by paying them substandard wages
Correct Answer:
Verified
Q11: Most economists prior to Keynes thought that
A)unemployment
Q12: In the medium run, if government purchases
Q13: Given the Keynesian AS-curve, expansionary monetary policy
Q14: In the Keynesian aggregate supply curve case,
A)firms
Q15: A decrease in real money supply caused
Q17: The natural rate of unemployment is
A)always zero
B)the
Q18: The AS-curve is horizontal or very flat
Q19: In which of the following cases will
Q20: If factor markets were perfectly competitive, then
Q21: A shift of the AD-curve to the
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents