Economy, asked by kauramans9701, 11 months ago

what according to keynsian are the factors lead tomrigidities in wages and prices?

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Answered by Anonymous
3

According to Keynes, due to money wage rigidity, that is, downward .money wages, Keynes gave three reasons for the stickiness of money wage rate.

The workers become disappointed because of not getting proper money for their work. So they don't given effort to do work then they leave the job and in society increase the unemployment. Money wags don't change the unemployment of labour. It doesn't fulfill the employment opportunities.

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