When Economists State That in the Long Run Prices Are

question 79

Multiple Choice

When economists state that in the long run prices are flexible they mean that

• A)inflation must be zero in the long run.
• B)in the long run, firms adjust their prices to reflect changes in cost or demand.
• C)changes in the nominal money supply have greater impact on the level of economic activity in the long run than in the short run.
• D)a one-time increase in the money supply will affect output only in the long run.

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Definitions:

Stage 3 and 4 Sleep

The deepest phases of non-REM sleep, crucial for physical restoration and health, involving further decrease in brain and body activity compared to earlier stages.

Sleep Patterns

The cyclical patterns of sleep, including stages of REM and non-REM sleep, that repeat through the night.

K Complexes

A type of brainwave that appears during Stage 2 of sleep, signifying periods of brain silence or reduced neural activity.

Sleep Spindles

These are brief bursts of brain activity characterized by their waxing and waning appearance on an EEG, typically occurring during stage 2 of sleep.