Other Things the Same,if the Price Level Rises by 2

question 67

Multiple Choice

Other things the same,if the price level rises by 2% and people were expecting it to rise by 5%,then some firms have

• A)higher than desired prices,which increases their sales.
• B)higher than desired prices,which depresses their sales.
• C)lower than desired prices,which increases their sales.
• D)lower than desired prices,which depresses their sales.

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Definitions:

Enforceable

Able to be enforced or supported through legal proceedings or by legal power.

Performance

The act of fulfilling or carrying out a task, duty, or function as required by contract or expectation.

Illegal

Actions or activities that are forbidden by law and subject to criminal penalties or fines.

Statute

A written law passed by a legislative body at the federal or state level.