Which of the following are inherent in classical theory?
A) Flexible prices.
B) Flexible wages.
C) Long-run full employment.
D) All of the above.

Question

Quizplus · Accepted Answer

Classical theory assumes that both prices and wages are flexible, meaning that they adjust to changes in supply and demand. Additionally, classical theory posits that in the long run, the economy will reach full employment. Therefore, all of the above options are inherent in classical theory.

Which of the Following Are Inherent in Classical Theory