If inflationary expectations increase, we can infer that:
a. unemployment is above the natural rate
b. the economy is not on the long-run Phillips curve.
c. the short-run Phillips curve is shifting to the left.
d. output is below potential GDP.
e. the unemployment rate is at the natural rate.
b
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Historically, price discrimination was considered illegal in all instances. More recently, antitrust authorities have discovered that
A) price discrimination can increase the coverage of a market thereby increasing welfare. B) price discrimination limits the coverage of a market thereby increasing welfare. C) price discrimination limits the coverage of a market thereby decreasing welfare. D) price discrimination can increase the coverage of a market thereby decreasing welfare.
A firm that produces a good with many substitutes will most likely find that:
A. lowering its price will increase total revenue. B. raising its price will increase total revenue. C. lowering its price will decrease total revenue. D. lowering its price will not affect total revenue.
If M were 500 and V were 8, how much would PQ be?
What will be an ideal response?
Which of the following would cause the money demand curve to shift to the right?
A. A decrease in GDP B. Inflation C. An increase in interest rates D. A technological advance