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27-12-2019
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The long-run Phillips curve _______. A. is a vertical curve at the natural unemployment rate B. slopes downward as the inflation rate falls C. slopes upward as the unemployment rate falls D. is a horizontal curve at the expected inflation rate

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innthomas00158 innthomas00158

27-12-2019

Answer:

A. is a vertical curve at the natural unemployment rate

Explanation:

Philips curve is a relationship between inflation and unemployment rate.

In the long run, Philips curve is vertical since there is no trade off between inflation and unemployment.

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