Solved

According to the Phillips Curve, Unemployment Will Return to the Natural

Question 3

Multiple Choice

According to the Phillips curve, unemployment will return to the natural rate when:


A) nominal wages are equal to expected wages
B) real wages are back at long-run equilibrium level
C) nominal wages are growing faster than inflation
D) inflation is higher than the growth of nominal wages

Correct Answer:

verifed

Verified

Related Questions

Q1: When output exceeds spending:<br>A)there is unsold output,

Q2: Psychological law of consumption states that the

Q4: In the equation C = 60 +

Q5: An increase in injections into the economy

Q6: Which groups are not protected from inflation?<br>A)industrial

Q7: Who propounded Psychological law of consumption<br>A)adam smith<br>B)ricardo<br>C)keynes<br>D)pigou

Q8: The concept of effective demand is associated

Q9: Keynes assumed the presence of --------- economy

Q10: When MPS = 0.2, MPC will be<br>A)0.8<br>B)0.2<br>C)1.2<br>D)20

Q11: Demand-pull inflation may be caused by:<br>A)an increase