The aggregate supply curve in the classical model is

When, because of hiring and firing costs, firms retain workers in a recession that they would otherwise lay off, there is said to be

A) labor hoarding. B) a decline in capacity utilization. C) voluntary unemployment. D) involuntary unemployment.

Regarding the price elasticities of demand, which of the following statements is true?

a. Price elasticities vary considerably from product to product b. Luxurious goods are generally less price elastic. c. Necessities are generally more price elastic. d. All of these statements are true.