-The Data Provided in the Table Above Suggest That,if the Public's

Multiple Choice

-The data provided in the table above suggest that,if the public's expectation of inflation is fixed at
= 2% and the natural rate of unemployment at u* = 7%,expansionary government policies can lower the unemployment rate to 5% in the short run,at the cost of increasing inflation to

A) 3%.
B) 4%.
C) 5%.
D) 6%.
E) 7%.