We Assume Flexible Prices in the Long Run, but Whenever

question 129

Multiple Choice

We assume flexible prices in the long run, but whenever it is costly to change prices (menu costs) or when there are long-term contracts for labor or capital:

• A) short-run prices tend to be flexible.
• B) short-run prices tend to be sticky.
• C) long-run prices tend to be sticky.
• D) firms have to pay higher costs and therefore have to raise prices.

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Definitions:

Projected Job Market

An estimation or forecast of the future demand and availability of jobs within a certain sector or economy.

Internal Factor

refers to elements within an organization or individual that can influence decisions, behaviors, and outcomes, such as values, resources, and goals.

Appropriate Job

An employment position that is well-suited to an individual's skills, interests, and qualifications.

Prospecting Cover Letter

A type of cover letter sent to inquire about potential job opportunities or to introduce oneself to a potential employer, even when no job has been advertised.