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32. (2 points) Suppose the economy is in longrun equilibrium and the government decreases its expenditures. Which of the following helps explain the logic of
32. (2 points) Suppose the economy is in longrun equilibrium and the government decreases its expenditures. Which of the following helps explain the logic of why the economy moves back to longrun equilibrium? A. as people revise their pricelevel expectations downward, rms and workers strike bargains for lower nominal wages. B. as people revise their pricelevel expectations downward, rms and workers strike bargains for higher nominal wages. C. as people revise their price-level expectations upward, rms and workers strike bargains for higher nominal wages. D. as people revise their pricelevel expectations upward, rms and workers strike bargains for lower nominal wages
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