Refer to the Following Figure When Answering the Following Questions

question 31

Multiple Choice

Refer to the following figure when answering the following questions.
Figure 15.2: The Labor Market
-In the stylized DSGE model for the labor market displayed in Figure 15.2, the line marked is due to which of the following?
i. Cyclical unemployment
ii. Sticky prices
iii. Sticky wages

• A) iii
• B) i and ii
• C) ii
• D) i
• E) ii and iii

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Definitions:

Classical Conditioning

The act of learning by making connections between an environmental and a naturally happening stimulus.

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The mechanisms and processes through which the body protects itself from disease, infection, and other harmful substances.

Positive Words

Words that invoke emotions or perspectives that are optimistic, encouraging, or affirmative.

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Words that convey negative emotions or connotations, used in various psychological studies.