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With Adaptive Expectations, the Phillips Curve Can Be Written As Δπt=vˉY~t\Delta \pi _ { t } = \bar { v } \tilde { Y } _ { t }

Question 25

Multiple Choice

With adaptive expectations, the Phillips curve can be written as:


A) Δπt=vˉY~t\Delta \pi _ { t } = \bar { v } \tilde { Y } _ { t }
B) Δπt=πt1+vY~t\Delta \pi _ { t } = \pi _ { t - 1 } + \overline { \boldsymbol { v } } \tilde { Y } _ { t }
C) Δπt=vY~t\Delta \pi _ { t } = v \tilde { Y } _ { t }
D) Δπt=vˉut\Delta \pi _ { t } = \bar { v } u _ { t }
E) πt=πt1\pi _ { t } = \pi _ { t - 1 }

Correct Answer:

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