Which of the following theories is criticised for assuming the money wage rate is not sticky?
A)New Keynesian cycle theory
B)Real business cycle theory
C)Keynesian cycle theory
D)Monetarist cycle theory

Question

Quizplus · Accepted Answer

Real business cycle theory is criticized for assuming that wages and prices are flexible and adjust quickly to clear markets, which contrasts with the idea of sticky wages in other theories.

Which of the Following Theories Is Criticised for Assuming the Money