Multiple Choice
The next questions refer to the following.
Suppose that, in the absence of supply shocks, the inflation-unemployment relationship is inflation rate = expected inflation rate + 2(natural rate of unemployment - actual unemployment rate) .
-The sacrifice ratio in this case is
A) 2
B) 1
C) .5
D) .01
E) .005
Correct Answer:

Verified
Correct Answer:
Verified
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