Contrary to the Behavior That Would Be Required to Eliminate

Question 110
Multiple Choice

Contrary to the behavior that would be required to eliminate output gaps,many firms in the economy: A)intentionally set prices below equilibrium prices in order to create shortages. B)adjust their prices only periodically. C)have fully-flexible prices that change constantly. D)only change the amount of output they produce in the long run,not in the short run.