Country A's Long-Run Phillips Curve Is Farther to the Right

Multiple Choice

Country A's long-run Phillips curve is farther to the right than country B's. Country A and country B are identical in all other ways. In particular, they have the same money supply growth rates. In the long run as compared to country B country A will have

A) higher unemployment and higher inflation.
B) higher unemployment and the same rate of inflation.
C) lower unemployment and higher inflation.
D) None of the above is correct.