Suppose an Economy Had Been Operating Along a Given Short-Run

Multiple Choice

Suppose an economy had been operating along a given short-run Phillips curve for several years and then experienced a year of stagflation. The year of stagflation would _____

A) be represented as an upward movement along the short-run Phillips curve.
B) be represented as a downward movement along the short-run Phillips curve.
C) be represented as a point above the short-run Phillips curve.
D) be represented as a point below the short-run Phillips curve.
E) correspond to the origin.