Patinkin and Modigliani Argue That Keynes' Argument That Demand Could

question 51

Multiple Choice

Patinkin and Modigliani argue that Keynes' argument that demand could fall below production would hold only if:

• A) inputs are fully flexible.
• B) prices are fully flexible while wages are not.
• C) prices and wages are fully flexible.
• D) prices and wages are not fully flexible.

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