New Keynesians would agree with all of the following except

a. stabilization policy can reduce the severity of business cycles.
b. wages and prices are sticky.
c. markets are perfectly competitive.
d. market equilibrium is often suboptimal.

C

Economics

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Karl Marx was critical of markets on the grounds that they are not efficient.

Answer the following statement true (T) or false (F)

Economics

So in equilibrium

What will be an ideal response?

Economics