In the fooling model's labor market diagram,from an initial intersection point of the labor supply and demand curves,tracing "northeast" up the labor supply curve shows
A) what happens to real wages and employment when aggregate demand expands.
B) what happens to real wages and employment when aggregate demand contracts.
C) what workers think is happening to real wages if an aggregate demand expansion fools them.
D) what firms think is happening to real wages if an aggregate demand expansion fools them.
Correct Answer:
Verified
Q1: According to Gordon which of the following
Q2: One of the major weaknesses of the
Q3: Which of the following is an important
Q4: The actual real wage must be below
Q5: In the fooling model,should an expansion of
Q7: In the "fooling" model,it is assumed that
Q8: In the fooling model's AD/SAS/LAS diagram,short-run equilibria
Q9: In the fooling model,suppose that from an
Q10: A principle difference between the new Classical
Q11: The "fooling" model was developed by economist
A)Milton
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