The Modern View of the Phillips Curve Indicates That in the Long

Multiple Choice

The modern view of the Phillips curve indicates that in the long run there

A) is no trade-off between inflation and unemployment.
B) is a definite trade-off between unemployment and inflation.
C) will be a trade-off if the rational expectations hypothesis is correct.
D) may be a long-run trade-off between unemployment and inflation, but there is no such trade-off in the short run.