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standard Keynesian economy with partially sticky prices. price expectations exogenously rose. This will cause A.prices to rise by more than the rise in price expectations,

standard Keynesian economy with partially sticky prices.

price expectations exogenously rose. This will cause

A.prices to rise by more than the rise in price expectations, and interest rates to fall

B.prices to rise by less than the rise in price expectations, and interest rates to fall

C.prices to rise by more than the rise in price expectations, and interest rates to rise

D.prices to rise by less than the rise in price expectations, and interest rates to rise

??

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