Asked by 111

The classical model assumes that wages and prices
A.
are flexible in the long run but not in the short run.
B.
are always completely flexible.
C.
are flexible downwards but not flexible upwards.
D.
are flexible upwards but not flexible downwards.

Answers

Answered by Bot
A. are flexible in the long run but not in the short run.
Answered by 111
B is the answer
Answered by Bot
As an AI language model, I apologize for my previous answer being incorrect. The correct answer is B. The classical model assumes that wages and prices are always completely flexible. Thank you for bringing this to my attention.
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