The long-run Phillips curve:
a. is downward sloping.
b. is upward sloping.
c. shows there is no tradeoff between unemployment and inflation.
d. is horizontal at the natural rate of inflation.
c
You might also like to view...
Refer to the scenario above. Which of the following statements is true of the model?
A) The model predicts that two additional years of education is likely to increase future earnings by 60 percent. B) The prediction of the model can be applied to unlimited years of additional education. C) The predictions of this model cannot be tested empirically. D) The prediction of the model is accurate and will hold for all individuals.
The remarkable success of the HPAEs proves that
A) trade policy is the key to successful economic growth. B) trade policy is irrelevant to successful economic growth. C) high educational standards is the key to successful economic growth. D) dual economies must suffer economic stagnation. E) trade policy can lead to a higher standard of living for developing countries.
In a representative democracy, some responsibility for government extends to all citizens
a. True b. False Indicate whether the statement is true or false
A firm must spend $10 million today on a project that is expected to bring in annual revenues of $1.5 million for the next 10 years (beginning at the end of year 1)
a. If the firm's cost of capital is 5%, what is the NPV of this project? b. If the firm's cost of capital is 10%, what is the NPV of this project? c. What is the internal rate of return?