In the Keynesian aggregate expenditure model,prices are assumed to be fixed because resources are idle (underutilized).

Name: In the Keynesian aggregate expenditure model,prices are assumed to be fixed because resources are idle (underutilized).
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According to the Keynesian aggregate expenditure model, resources are assumed to be underutilized and therefore prices are assumed to be fixed in the short run. However, in the long run, resources may become fully utilized and prices can adjust.

In the Keynesian Aggregate Expenditure Model,prices Are Assumed to Be