Other things the same,if the price level is lower than expected,then some firms believe that the relative price of what they produce has
A) decreased,so they increase production.
B) decreased,so they decrease production.
C) increased,so they increase production.
D) increased,so they decrease production.
Correct Answer:
Verified
Q63: People had been expecting the price level
Q64: A change in the expected price level
Q65: In the aggregate demand and aggregate supply
Q66: Assuming that a is positive,theories of short-run
Q67: The effects of a higher than expected
Q69: If the actual price level is 165,but
Q70: If the price level is higher than
Q71: The mathematical equation: quantity of output supplied
Q72: According to the misperceptions theory of the
Q73: Other things the same,the aggregate quantity of
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents