A main argument against indexing is that:
a. it can worsen inflation

b. it can reduce asset prices.
c. transaction costs are too high.
d. it could lead to deflation.

a

Economics

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A price floor makes prices

A) below the price floor illegal. B) above the price floor illegal. C) below the equilibrium price illegal. D) above the equilibrium price illegal. E) None of the above answers is correct.

Economics

Suppose labor supply declined. Would this affect the aggregate demand curve or the aggregate supply curve? What would be the effect on output and the price level?

What will be an ideal response?

Economics