If Expectations About Inflation Are Adaptive,they Are ________

question 81

Multiple Choice

If expectations about inflation are adaptive,they are ________.

• A)quick to respond to price shocks
• B)consistent with the notion of sticky prices
• C)based on changes in productivity
• D)all of the above
• E)none of the above

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Definitions:

Language

A complex system of communication that uses symbols, sounds, and rules to convey information and express thoughts, emotions, and ideas.

Transformational Grammar

A linguistic theory that seeks to describe how the deep and surface structures of sentences are related by rules of transformation.

Surface Structures

In linguistics, the outward form of language syntax that can vary without altering the underlying deep structure's meaning.

Deep Structure

In linguistics, the underlying syntactic structure or meaning of a sentence, beyond the words and their direct arrangement.