When the Level of Wages in an Economy Fully Adjust

question 64

Multiple Choice

When the level of wages in an economy fully adjust to changes in inflation, _____.

• A) aggregate supply will increase
• B) aggregate supply will remain constant
• C) aggregate supply will decrease
• D) firms' costs and revenues will vary frequently

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Definitions:

Negative Reinforcer

An unpleasant stimulus that, when removed after a behavior, increases the likelihood of that behavior being repeated in the future.

Primary Reinforcer

A stimulus that is inherently rewarding and satisfies a basic biological need, such as food or water.

Positive Reinforcer

A motivator that, when given after a specific behavior, boosts the chance of that behavior being replicated.

Secondary Reinforcer

A stimulus that has acquired the property of reinforcing behaviors through association with a primary reinforcer.