Multiple Choice
(Figure: Understanding Phillips Curve Shifts) The graph shows two Phillips curves. Suppose the economy originally faced curve PC1. Which of these would cause the curve to shift to PC2? 
A) Workers in the economy are expecting lower inflation.
B) The natural rate of unemployment rose.
C) The nonaccelerating inflation rate of unemployment increased.
D) The actual unemployment rate fell.
Correct Answer:
Verified
Correct Answer:
Verified
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