The Longer Is the Interval Between Firms' Price Adjustments

question 114

Multiple Choice

The longer is the interval between firms' price adjustments

• A) the longer the interval that the horizontal new Keynesian aggregate supply curve will remain in position.
• B) the shorter the interval the horizontal new Keynesian aggregate supply curve will remain in position.
• C) the new Keynesian aggregate supply curve will become steeper.
• D) the smaller the output effect of a given change in the money supply.

---

Definitions:

Sample Proportions

The fraction or percentage of samples in a category or exhibiting a characteristic, used to estimate population proportions.

Population Proportions

Refers to the share or percentage of a specific subgroup within the overall population.

Variance

Variance quantifies the spread of data points around the average value, showing the extent of their dispersion.

Sample Proportions

The percentage of times a characteristic occurs in a sample as compared to the total sample size.