For a number of years Canada and many European countries have had higher average unemployment rates than the United States. The Phillips curve suggests that these countries
a. have higher average inflation rates than the United States.
b. have long-run Phillips curves to the right of the United States'.
c. may have less generous unemployment compensation or lower minimum wages.
d. All of the above are consistent with the evidence on unemployment rates.
b
You might also like to view...
Which of the following agencies has established standardized accounting principles for reporting corporate earnings?
A) The Securities and Exchange Commission B) The Federal Trade Commission C) The National Accounting Board D) The Fair Reporting Commission
In the very short run:
a. new firms may enter an industry. b. existing firms may change the quantity they are supplying. c. price and quantity supplied are absolutely fixed. d. quantity supplied is absolutely fixed.
There is only one efficient allocation of resources in an economy at one point in time.
Answer the following statement true (T) or false (F)
Which of the following is not a way we sometimes confuse correlation and causation?
A. Omitted variables B. Correlation without causation C. Reverse causality D. Non-linear relationships