Multiple Choice
In macroeconomics, the term "classical" refers to a school of economics that believed that
A) the economy is never at full employment.
B) over a short period of time, wages and prices will adjust to bring the economy back to full employment.
C) over a short period of time, wages alone and not prices, will adjust to bring the economy back to full employment.
D) over along period of time, wages and prices will adjust to bring the economy back to full employment.
Correct Answer:
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