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A Policy Intended to Take Reduce Unemployment by Taking Advantage

Question 224

Multiple Choice

A policy intended to take reduce unemployment by taking advantage of a tradeoff between inflation and unemployment leads to


A) both higher inflation and higher unemployment in the long run.
B) higher inflation and no reduction in unemployment in the long run.
C) the same inflation rate and lower unemployment in the long run.
D) higher inflation and lower unemployment in the long run

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