Some economists argue that since inflation
A) raises the real value of fixed nominal wages, a little inflation may make it easier for labor markets to adjust.
B) raises the real value of fixed nominal wages, a little inflation may make it harder for labor markets to adjust.
C) reduces the real value of fixed nominal wages, a little inflation may make it easier for labor markets to adjust.
D) reduces the real value of fixed nominal wages, a little inflation may make it harder for labor markets to adjust.
Correct Answer:
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