Keynes believed that a. perceived that declines in real wages caused

Keynes believed that

a. perceived that declines in real wages caused by price-level increases would be resisted by labor, whereas an equivalent fall in the real wage from a money wage cut would be accepted.
b. perceived that declines in real wages caused by price-level increases would be more readily accepted by labor than an equivalent fall in the real wage from a money wage cut.
c. workers preferred employment stability to wage stability.
d. would always be acceptable to labor.
e. both b and c.

ANSWER

B