In the Short Run with a Model with Sticky Prices

question 16

Multiple Choice

In the short run with a model with sticky prices a negative monetary surprise:

• A)decreases labour demand.
• B)decreases real output.
• C)decreases the real wage.
• D)all of the above.

---

Definitions:

Purchase Requisition

A document generated by a company department to request that the purchasing department procure a specific quantity of goods or services.

Department Manager

An individual who is responsible for overseeing the operations and personnel of a specific department within an organization.

Merchandise Needs

The requirements for goods and products a business needs to buy for resale or for operational purposes.