You have a two year agreement with Netflix for $11.99/month and Amazon Prime for $12.99/month. If an economic expansion occurs during this time and aggregate demand rises, a. Sticky prices like Netflix and Amazon suggest there will be no GDP growth in the New Keynesian Model short-run. b. Fixed price contracts like Netflix and Amazon imply that inflation will be higher in the long-run if the demand shock is permanent. c. The RBC model predicts higher long-run economic growth following this aggregate demand shift. d. None of the above. e. All of the above.

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