Final answer:
Countries in which wages adjust slowly to changes in the supply and demand for labor are likely to have a high sacrifice ratio. The correct answer is option A.
Step-by-step explanation:
When wages in a country adjust slowly to changes in the supply of and demand for labor, it suggests that the labor market is not very flexible. In this case, the country is likely to have a high sacrifice ratio (option A). The sacrifice ratio measures the cost of reducing inflation through contractionary monetary policy, such as increasing interest rates.
In an economy with slow wage adjustments, unemployment is likely to be relatively high (option A). This is because rigid wages make it difficult for labor markets to adjust and for workers to find jobs. Prices are likely to be a relatively small concern for this economy (option C).
Slow wage adjustments indicate that prices in the economy are not very responsive to changes in supply and demand.