Some firms do not instantly adjust the prices they charge in response to changes in demand for all of the following reasons except:
A) it is costly to alter prices.
B) they do not want to annoy their frequent customers.
C) prices do not adjust when there is perfect competition.
D) some prices are set by long-term contracts between firms and customers.
Correct Answer:
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Q2: In the sticky-price model, the relationship between
Q3: According to the imperfect-information model, when the
Q4: The short-run aggregate supply curve is drawn
Q5: According to the sticky-price model, output will
Q6: Each of the two models of short-run
Q8: According to the sticky-price model, other things
Q9: The imperfect-information model bases the difference in
Q10: Each of the two models of short-run
Q11: The imperfect-information model assumes that producers find
Q12: According to the imperfect-information model, when the
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