Multiple Choice
If people eventually adjust their inflation expectations so that in the long run actual and expected inflation are the same,then policymakers
A) Can not exploit a tradeoff between inflation and unemployment in either the short or long run.
B) Can exploit a tradeoff between inflation and unemployment in the short run but not in the long run.
C) Can exploit a tradeoff between inflation and unemployment in both the short run and the long run.
D) Can exploit a tradeoff between inflation and unemployment in the long run,but not the short run.
Correct Answer:

Verified
Correct Answer:
Verified
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