Which of the Following Is Consistent with the Classical Position

question 96

Multiple Choice

Which of the following is consistent with the classical position on wages and prices?

• A) Wages and prices are sticky in the downward direction.
• B) Wages are sticky in the downward direction, but prices are flexible.
• C) Wages and prices are flexible.
• D) Prices are sticky in the downward direction, but wages are flexible.

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Definitions:

Cumulative Percent Frequency

A measure used in statistics to describe the percentage of data points that fall within a certain category or below a specified value, accumulating from the start of the data set.

Total Number

The aggregate count or sum of all units or elements within a specified set or collection.

Data Set

A collection of related data points or values that have been gathered to be analyzed or used as a basis for decision-making.

Cumulative Relative Frequency

A calculation used in statistics to summarize data by accumulating percentages of observations in ascending order.