If the Average Interval Between Firms' Price Adjustments Is Relatively

question 65

Multiple Choice

If the average interval between firms' price adjustments is relatively long

• A) an increase in aggregate demand will cause a relatively short-lived increase in real GDP.
• B) an increase in aggregate demand will cause a relatively long-lived increase in real GDP.
• C) a reduction in aggregate demand will cause a relatively short-lived reduction in real GDP.
• D) none of the above.

---

Definitions:

Declaration Of Independence

is the historic document adopted on July 4, 1776, in which the thirteen American colonies declared their independence from British rule.

War Preparation

The activities and measures taken by a nation or group to ready itself for potential military conflict.

Massachusetts Citizens

Residents or naturalized individuals living in the state of Massachusetts, often referring to their rights, responsibilities, and historical role in American history.