Multiple Choice
The Phillips curve is
A) a positive relationship in the long run between the rate of inflation and the rate of unemployment.
B) a negative relationship between the inflation rate and the unemployment rate, at least in the short run.
C) a positive relationship between the unemployment rate and the real Gross Domestic Product (GDP) level.
D) a positive relationship between price stability and constant, small-increment changes in the fiscal policy on the part of the Fed.
Correct Answer:
Verified
Correct Answer:
Verified
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