The Sticky-Price Theory of the Short-Run Aggregate Supply Curve Says

question 17

Multiple Choice

The sticky-price theory of the short-run aggregate supply curve says that when the price level is higher than expected,some firms will have

• A)higher than desired prices,which leads to an increase in the aggregate quantity of goods and services supplied.
• B)higher than desired prices,which leads to a decrease in the aggregate quantity of goods and service supplied.
• C)lower than desired prices,which leads to an increase in the aggregate quantity of goods and services supplied.
• D)lower than desired prices,which leads to a decrease in the aggregate quantity of goods and services supplied

---

Definitions:

Emile Durkheim

A French sociologist, one of the founding figures of the field, best known for his studies on social solidarity and the role of societal institutions.

Psychological Disorder

A condition characterized by abnormal thoughts, feelings, or behaviors that cause significant distress or impairment in social, occupational, or other important areas of functioning.

Suicide Rates

The proportion of individuals in a population who take their own lives, typically expressed per 100,000 people per year.

Emile Durkheim

A French sociologist who significantly contributed to the establishment of sociology as a discipline, known for his studies on social solidarity and the division of labor.