What factors cause the Phillips curve to? shift? ?(Check all that apply.?)
A. supply shocks
B. changes in the expected inflation rate
C. changes in the actual inflation rate
D. demand shocks
Ans: A. supply shocks and B. changes in the expected inflation rate.
The Phillips curve shows the inverse or negative relationship between the unemployment level and the inflation rate The two reasons lead to shift of Phillips curve are supply shock and Changes in expected inflation rate
You might also like to view...
Illegal activities in an economy are not included when calculating an economy's GDP
a. True b. False Indicate whether the statement is true or false
In which industry or sector of the economy is output least likely to be affected by the business cycle?
A. Housing construction B. Automobile production C. Agricultural commodities D. Capital goods production
The producer of compliments may want to advertise them together
Indicate whether the statement is true or false
All of the following are resources EXCEPT
A) doctors because they perform services. B) the land the Statue of Liberty sits on. C) the computer in the student computer lab. D) money.