Samuelson and Solow argued that when unemployment is high, there is
A)upward pressures on wages and prices.
B)upward pressures on wages and downward pressures on prices.
C)upward pressures on prices and downward pressures on wages.
D)downward pressures on wages and prices.

Question

Quizplus · Accepted Answer

Samuelson and Solow suggested that high unemployment leads to downward pressures on wages and prices, as there is less demand for labor and goods, which can lead to lower wages and prices.

Samuelson and Solow Argued That When Unemployment Is High, There