The Misperceptions Theory of the Short-Run Aggregate Supply Curve Says

question 143

Multiple Choice

The misperceptions theory of the short-run aggregate supply curve says that the quantity of output supplied will increase if the price level

• A)increases less than expected so that firms believe the relative price of their output has increased.
• B)increases less than expected so that firms believe the relative price of their output has decreased.
• C)increases more than expected so that firms believe the relative price of their output has increased.
• D)increases more than expected so that firms believe the relative price of their output has decreased.

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Definitions:

Workforce Forecasting

The process of predicting an organization's future employment needs to plan accordingly for hiring, training, and development.

HR Supply

The availability of potential and current employees to meet the human resource needs of an organization.

Management Inventory

A comprehensive list or database of the management resources, skills, and capacities within an organization.

Specialized Duties

Tasks or responsibilities assigned to employees that require specific skills or expertise, often unique to a particular role or profession.