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If the Unemployment Rate Rises and the Inflation Rate Falls

Question 31

Multiple Choice

If the unemployment rate rises and the inflation rate falls, while the natural unemployment rate and the expected inflation rate remain constant, then we are studying a movement along the


A) long- run aggregate supply curve.
B) aggregate demand curve.
C) Friedman curve.
D) short- run Phillips curve.
E) Phelps- Friedman curve.

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