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If prices of goods and services quickly adjusted to demand shocks, then A. firms would find it difficult to produce at their optimal output rates. B. output rates would quickly adjust to changes in demand. C. firms would find it easier to produce at their optimal output rates. D. the economy would experience severe short-run fluctuation.

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axelvitullo3

Answer:

If prices of goods and services adjust to demand shocks, then C. Firms would find it easier to produce at their optimal rates.

Explanation:

Companies anticipating increased revenues may respond by hiring more workers or expanding operations.this causes increase in hiring and economic activity feeds back to lead to even more consumption.

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