If Wages Are Sticky,then a Greater Than Expected Increase in the Price

question 21

Multiple Choice

If wages are sticky,then a greater than expected increase in the price level

• A)raises the real costs of production,so the short-run aggregate supply curve shifts left.
• B)raises the real costs of production,so the aggregate quantity of goods and services declines.
• C)reduces the real costs of production,so the short-run aggregate supply curve shifts right.
• D)reduces the real costs of production,so the aggregate quantity of goods and services rises.

Understand the impact of technology and substitutes on the relative prices of natural resources.

Recognize the significance of proved reserves in assessing the availability of natural resources.

Comprehend the dynamics between resource scarcity, exploration, and innovation.

Identify the factors influencing the prices of natural resources and their long-term trends.