Refer to the Following Figure When Answering

Multiple Choice

Refer to the following figure when answering
Figure 9.4: U.S. Inflation 1990-2012
(Source: Bureau of Labor Statistics)
-Consider two economies. Economy 1 has a steep Phillips curve and Economy 2 has a gently sloped Phillips curve. If each economy experiences an identical economic expansion, ________ would increase less in ________.

A) the change in inflation; Economy 2
B) the change in unemployment; Economy 1
C) the change in unemployment; Economy 2
D) the change in interest rates; Economy 1
E) Not enough information is given.