The Assumption That Prices and Wages Are Flexible Implies That

question 45

Multiple Choice

The assumption that prices and wages are flexible implies that the:

• A) short-run aggregate supply curve is irrelevant.
• B) short-run aggregate supply curve shifts slowly in response to deviations of current output from potential output.
• C) long-run aggregate supply curve is irrelevant.
• D) long-run aggregate supply curve could not shift.

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Definitions:

Positive Self-Image

is the perception one has of oneself as being competent, attractive, and worthy, contributing to confidence and well-being.

'Unusual'

denotes something that deviates from what is considered normal or typical, often attracting attention due to its rarity or uniqueness.

Stigmatised Groups

Groups of individuals who are devalued, rejected, or excluded due to attributes that are discredited or seen as undesirable by the wider society.

Negative Self-Esteem

A harmful view of oneself characterized by a lack of confidence and feeling unworthy or inferior.