Sticky Wages and Prices Are Incorporated in the AD-AS Model

question 54

Multiple Choice

Sticky wages and prices are incorporated in the AD-AS model by the:

• A) long-run aggregate supply curve.
• B) short-run aggregate supply curve.
• C) aggregate demand curve.
• D) both the aggregate demand and short-run aggregate supply curves.

---

Definitions:

Education

The process of facilitating learning, or the acquisition of knowledge, skills, values, beliefs, and habits through various means such as teaching, training, storytelling, discussion, and directed research.

Contextual Intelligence

The ability to understand and adapt to different environments and situations by applying relevant knowledge and skills.

Practical Application

The use of theoretical knowledge in a real-world context to solve practical problems or achieve specific outcomes.

Intelligence

The ability to learn from experience, solve problems, and use knowledge to adapt to new situations.