Which of the following best describes the concept of "sticky prices" in macroeconomics?
1
Prices that adjust immediately to changes in supply and demand.
2
Prices that remain constant regardless of changes in economic conditions.
3
Prices that fluctuate rapidly in response to changes in economic conditions.
4
Prices that are slow to adjust to changes in supply and demand due to menu costs or contractual agreements.
5
Prices that are determined solely by government regulations.