The correct answer is Contractual agreements.
Contractual agreements often fix the terms of agreements, including prices for labor and resources, which can help stabilize input prices in both the immediate short run and the short run.
Multiple Choice Question
What reduces the level of change in input prices in both the immediate short run and the short run?
Multiple choice question.
Weak inflation on consumer goods
Resource surpluses
Contractual agreements
Resource shortages
1 answer