A Phillips curve implies
A. a negative relationship between consumption and saving.
B. a positive relationship between inflation and prices.
C. a negative relationship between inflation and unemployment.
D. a positive relationship between consumption expenditure and inflation.
Ans: C. a negative relationship between inflation and unemployment.
You might also like to view...
Starting from long-run equilibrium, a large decrease in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; lower; potential B. expansionary; higher; potential C. recessionary; lower; potential D. recessionary; lower; lower
We Deliver for You is a local company that has several couriers who pick up small packages from local offices and hand deliver them to other local office buildings in same day. The managers of We Deliver for You want the couriers to make as many prompt and speedy deliveries a day as possible, and to incentivize the couriers, the managers do not pay the couriers a salary, rather a flat fee per
delivery. This payment policy will incentivize the couriers to do all of the following except which one? A) minimize their daily number of deliveries B) arrive to pick up packages promptly C) drive fast and take driving risks D) make prompt deliveries
Juanita worked for a defense contractor in the United States. During the 2008 recession, the government cut spending and Juanita and ninety-nine others were laid off. In such a case, the unemployment Juanita is experiencing is _____
a. cyclical b. structural c. seasonal d. frictional e. voluntary
In a natural monopoly, government regulation is often used to ensure more beneficial price and output combinations for consumers in the market than would exist in the absence of regulation
a. True b. False Indicate whether the statement is true or false