The idea that wages and prices adjust freely and quickly to changes in the demand and supply is adopted and defended by:

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The idea that wages and prices adjust freely and quickly to changes in the demand and supply is a key tenet of classical economics. This belief in price and wage flexibility is central to the classical view that markets, left to their own devices, will naturally tend towards equilibrium. Keynesian economists, on the other hand, argue that wages and prices may be sticky and slow to adjust, leading to inefficiencies in the marketplace. Demand-side and fine-tuning economists are not typically associated with a particular view on price and wage flexibility.

The Idea That Wages and Prices Adjust Freely and Quickly