Backward-looking expectations may reasonably describe, Business Economics

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Backward-looking expectations may reasonably describe

Backward-looking expectations may reasonably describe actual behavior because

changes in inflation rates or price levels are often temporary.

changes in inflation rates or price levels are often permanent.

the speed of adjustment of prices and wages is difficult to estimate since contract negotiators have

perfect information about negotiations in other industries.

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Business Economics: Backward-looking expectations may reasonably describe

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Business Economics: Backward-looking expectations may reasonably describe

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