On a given short-run Phillips curve which of the following is not held constant?
a. the level of GDP
b. the position of the aggregate-supply curve
c. expected inflation
d. the expected growth rate of the money supply
a
You might also like to view...
Starting from long-run equilibrium, a large increase in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; potential B. recessionary; higher; potential C. recessionary; lower; lower D. expansionary; higher; higher
Suppose inflation is expected to be 5 percent next year, and you and your employer agree to a 6 percent increase in your nominal, or monetary, wage. If inflation turns out to be 5%, what is your nominal wage increase?
Refer to Table 21.2. The bottom 20 percent of earners took home ________ of all income earned in Mysteria
A) 5% B) 8.33% C) 10% D) 29.4%
In order to induce risk-averse people to invest in risky ventures, an additional sum of money is often paid to them along with the return
a. True b. False Indicate whether the statement is true or false